Seychelles Yacht RegistrationThe Merchant Shipping Act 1992 governs the yacht registration in the Seychelles. Vessels below the age of 15 years are eligible to apply. If the vessel exceeds this age, then a seaworthiness certificate is required. A Survey to the effect that the vessel is in satisfactory trading state and will comply with all class and statutory requirements can and will be met is required.
The International Business Company [IBC] is the most effective vehicle for offshore ownership of a Seychelles-registered vessel or ship management operation. Such a company will be exempt from Seychelles taxation on profits and dividends. Sale and transfer of Seychelles-registered vessels or the companies owning them are also free of tax, as are the salaries of officers and crew of Seychelles-registered vessels operating internationally. The present law also makes provision for consular and diplomatic representatives of the Seychelles abroad to issue provisional certificates of registration to vessels satisfying the ownership and registration criteria.
Vessels below the age of 15 years are eligible to apply. If the vessel exceeds this age, then a seaworthiness certificate is required. A Survey to the effect that the vessel is in satisfactory trading state and will comply with all class and/or statutory (Convention or Non-Convention) requirements can and will be met is required.
Upon appropriate qualification, the Registrar of ships, Republic of Seychelles or Maritime Commissioner will issue a provisional certificate of Registry valid for a period of 90 days. Extensions may be granted subject to approval with good reasons. Upon receipt of all necessary documents, originals or certified true copies, by the Maritime Commissioner, the Registrar of Ships will issue the permanent certificate of Registry for the said vessel.
Bareboat CharteringIt is possible by bareboat chartering a vessel to a company incorporated in Seychelles to have a parallel registration of a vessel under Seychelles flag, provided certain conditions are satisfied. Furthermore it is possible for a vessel registered under Seychelles flag to be bareboat chartered out to a foreign corporation for parallel registration under the flag of another jurisdiction provided the law of the latter recognizes bareboat chartering.
Seychelles Boat Registration Advantages:
Cyprus is a popular destination for boat owners who are looking to register their boats under a foreign flag. Here are some advantages of registering a boat under the Cyprus flag:
- Exempt from all taxes for earnings or profits from the operation of the vessel
- No tax on the sale or transfer
- No tax payable on the salaries of crew while operating international waters
What paperwork is required for Seychelles yacht registration:Provisional Registration
The following particulars will need to be presented for the provisional registration of a yacht:
- A certificate signed by the builder containing various technical details relating to the yacht, such as the description of the ship, estimated tonnage, date and place of construction, name of the person (if any) on whose account the ship was built
- Where the yacht has been registered under the law of a foreign country, evidence that registration in that county has ceased (Certificate of Deletion). It is possible to obtain a Provisional Registration pending receipt of the deletion certificate
- Evidence that the applicant is the owner of the ship
- A declaration of ownership (Form RS02)
- A list of not less than three alternative names under which the ship is proposed to be registered
- A radio license
Permanent RegistrationAfter a period of 90 days, the yacht may be permanently registered. The yacht owner will need to submit further documentation:
- An application for permanent registration
- A bill of sale
- Statutory certificates
- A carving and marking note, which is issued by the Registrar of Shipping.
Details of an Seychelles IBC (=International Business Company) to be used as ownership entity for the vessel)The International Business Company is a product of special legislation in many jurisdictions and is the most popular structure in most offshore financial centers. Whether or not actually called an IBC, this type of company is the prevailing entity used by those setting up an offshore company. IBC's have the following benefits:
- no taxation on foreign earned income
- limited liability of its members
- exemption from local taxes and stamp duty
- privacy and confidentiality
- simple company formation
- limited or no ongoing filing requirements
- inability to trade within the country in which it is domiciled