Commercial vs Private Yacht Use in Greece

When purchasing a yacht in Greece, the intended use of the yacht, commercial charter operation vs private leisure use, determines not only the tax structure but also the yacht's operational, legal, and administrative framework. While both ownership models offer access to Greece’s world-class sailing environment, they differ substantially in terms of flexibility, responsibilities, and return on investment.

Taxation

You can read about this topic in more detail here:

Private Yachts:

- Subject to standard VAT (24%) upon purchase

- Operational costs are not deductible

- All running costs are considered personal expenditure

Commercial Yachts:

- Exempt from VAT upon purchase

- Charter income is not subject to corporate or income tax due to the tonnage tax regime.

- Operational expenses are fully deductible.

Core Legal Definition and Usage Scope

Private Yacht Use:

A yacht designated for private use under the Greek registry (or any EU registry while operating in Greece) is strictly limited to non-commercial activities. The yacht may be used only by the owner, their family, or personal guests.

Under no circumstances may it be offered for charter, nor may it receive any form of direct or indirect compensation for use.

Commercial Yacht Use

A commercial yacht is registered under a Greek entity specifically for the purpose of offering paid charters. While its principal activity must be commercial, Greek law permits the owner, for a fee, to use the yacht for private purposes during designated non-charter periods, provided this is clearly documented and not monetized.

Cosmos Yachting offers clients the ability to reserve a fixed number of private weeks per year within the charter calendar. These periods are clearly marked as non-commercial and are fully compliant with Greek maritime authority regulations.

You can check more here:

Flag Registration and Legal Implications

Private Yachts:

- Can be registered under any EU flag.

- Can enjoy unimpeded freedom of navigation in Greek waters, but must conform to Greek maritime safety inspections and tax declarations if permanently moored in the country.

Commercial Yachts:

- Must be flagged under a country that allows Greek commercial charter licensing.

- At Cosmos Yachting, all our yachts are registered under the Greek flag, as it is ideal.

(Registration under the Greek flag facilitates access to Greek commercial yacht licenses, local benefits (e.g., marina priority berths), and simplifies crew documentation and VAT compliance.)

Operational Flexibility and Income Potential

Private Yachts:

- Offer full autonomy of use, but with no ability to monetize the asset.

- All costs (maintenance, insurance, marina fees) are borne by the owner.

- If underused, the yacht becomes a depreciating asset with high holding costs.

- Limitless and unrestricted customization of the yacht. The owner can do as they wish to the yacht, altering it to match their preference and make it feel like home.

Commercial Yachts:

- Provide access to charter income.

- Costs, compliance with law and regulation, technical service, and maintenance are being taken care from the management company.

- The yacht is always kept in great condition, hence retaining its value over the years.

- Although the owner has the upper hand in the decision-making of the customization options of the yachts,  it is advised not to do complete restorations and radical changes to the yacht, as it still has to be suitable for chartering.

Resale Market Implications

Commercially registered yachts managed by established and well-known fleet operators, like Cosmos Yachting, have more exposure to the yachting world, hence finding it much easier to resell a pre-owned yacht rather than as an individual owner trying to connect to a customer directly. Eventually, many private owners resort at the end to a management company to resell their yachts.

Conclusion

The choice between private and commercial yacht ownership in Greece hinges on the owner’s priorities. Private yachts offer personal freedom but impose rigid legal restrictions on monetization and yield no tax or operational relief. Commercial yachts, when structured correctly through a Greek entity, deliver significant tax advantages, income potential, and operational flexibility, with the added benefit of limited private use, subject to transparent scheduling.

Cosmos Yachting offers comprehensive yacht management solutions, from sales and financing to charter bookings, technical service, and full operational oversight. We help owners structure acquisitions in a way that aligns with both their lifestyle and investment goals, ensuring regulatory compliance and long-term asset value.

Find out more here.