New Schengen Visa Rules from Feb 2020

[BlueSlue]

Schengen Visa Rules are set to change as of February 2020. Apparently it will become easier or at least possible to get a longer stay visa according to this article:

https://www.schengenvisainfo.com/new...-need-to-know/

This bit caught my attention:
Travelers frequently visiting the Schengen Area, who also have a positive visa history, meaning they have lawfully used their previous visas, they have a good economic situation in the country of origin and a genuine intention to leave the territory of the Member States before the expiry of the visa for which they have applied, will be granted with the benefit of getting a multiple-entry visa valid for up to five years.

Will this change make life easier for non-EU cruisers?

[valhalla360]

Below is from the same site. I believe it is referring to applicants from countries that require an advance visa (as opposed to US, Canada, Australia, etc... which get visa on arrival). Normally, for a tourist visit, people from these other countries would get a single entry visa (if approved). If they do business, they could apply for a multiple entry visa (with higher standard for approval), so they can come and go without violating the 90/180 rules. Most 1st world western countries already get a multiple entry visa (in effect if not in name):

5 year multiple-entry Schengen visa
5-year MEV is granted to people that travel a lot to the Schengen Zone, especially for business. This visa permits you to enter 26 countries in Europe as many times as you wish, within five years, as soon as you do not violate the 90/180 days rule.

You will need to show very strong proof that you travel frequently to any of these countries and why you travel. In addition, you will need to show evidence why a visa with a validity of 5 years is necessary for you.

[NotEntirelySure]

Mmmmm, Annoyingly I see nothing in that that is a benefit to most visitors.

[BlueSlue]

Thanks for your reply. It looks like you are correct - it only applies to those who need advance visas. And even with it, the 90/180 rule still applies.

[carraiguna]

May be a dumb question but for clarification ...
If I have dual citizenship US and EU I assume the Schengen rules do not apply. However if I am on a US Flag vessel are there other concerns about buying a boat in say Spain and staying in Mediterranean for an extended time.

[slug]

Originally Posted by carraiguna

May be a dumb question but for clarification ...
If I have dual citizenship US and EU I assume the Schengen rules do not apply. However if I am on a US Flag vessel are there other concerns about buying a boat in say Spain and staying in Mediterranean for an extended time.

You should ask a specialist ..as far as I know a EU passport holder can not sail a non vat paid boat in the EU.

I believe that If you spend more than half a year in the EU you become a Eu resident ,. Tax

Investigate the Spanish matriculation tax

[tarian]

Originally Posted by carraiguna

May be a dumb question but for clarification ...
If I have dual citizenship US and EU I assume the Schengen rules do not apply. However if I am on a US Flag vessel are there other concerns about buying a boat in say Spain and staying in Mediterranean for an extended time.

No problems with you passport , and no problems with the boat as long as you can show tax has been paid in the EU country of purchase

[Greg K]

Originally Posted by carraiguna

May be a dumb question but for clarification ...
If I have dual citizenship US and EU I assume the Schengen rules do not apply. However if I am on a US Flag vessel are there other concerns about buying a boat in say Spain and staying in Mediterranean for an extended time.

To add to Slug's and Tarian's comments, if the boat is over 8 meters and for personal use, and you stay in Spain over 183 days, the boat will be liable for 12% Spanish Matriculation tax. There are a number of conditions that need to be met to be exempt from this tax. Take a look here for more details:
https://www.nauticalegal.com/en/repo...gistered-boats

[dcarratt]

Tax residency in the EU is decided on a country by country basis - it is different for every country. In general, if you live on a boat in one place for 6 months it is very likely to create a tax residency in that country. This could expose you to taxes on worldwide assets in countries which have wealth taxes eg France & Spain.

Many non-EU nationals break their cruises by visiting North Africa or Turkey to meet the 90/180 visa requirements and to avoid tests for "habitual residence".

[carraiguna]

Thank you Greg K, Slug and Tarian for responses that give me much food for thought and some avenues to do further research.
The overall plan is to :
1. purchase a vessel in - say Spain for export (not pay VAT)
2. retire in US early this summer
3. move aboard and sail Spanish coast to France and Italy
4. by September begin journey back towards Portugal for the off season
5. return to US for Thanksgiving / Christmas
6. in Feb back to boat to cruise Med as far east as Greece
7. late summer set up for ARC 2021 to Caribbean

Based on Greg K link provided it seems the Spanish tax (12%) would not apply ?
Still unsure about Slugs comment - EU passport on US flag vessel with tax not paid - may be the biggest issue ?

I welcome any other comments or GOTCHA regarding the plan

[Greg K]

Not sure you can avoid VAT if the boat has been in EU for more than 18 months regardless of who owns it or flag. If you buy an EU national owned boat, most likely VAT will have already been paid. Never heard of refunds or purchasing "for export" ( VAT free) unless you're talking about some kind of purchase arrangement with new EU built boats directly from manufacturer?

[slug]

Originally Posted by Greg K

Not sure you can avoid VAT if the boat has been in EU for more than 18 months regardless of who owns it or flag. If you buy an EU national owned boat, most likely VAT will have already been paid. Never heard of refunds or purchasing "for export" ( VAT free) unless you're talking about some kind of purchase arrangement with new EU built boats directly from manufacturer?

Best to get professional advice ...but , I think you ....as a non Eu resident ..can buy a used boat ...re flag out of the EU and reclaim vat ....if the boat had previously been registered commercial..charter boat . It was a business

Again..don’t believe me..ask a pro

[boatman61]

Originally Posted by slug

Best to get professional advice ...but , I think you ....as a non Eu resident ..can buy a used boat ...re flag out of the EU and reclaim vat ....if the boat had previously been registered commercial..charter boat . It was a business

Again..don’t believe me..ask a pro

No way Jose..
No VAT Refunds on secondhand goods.
Also.. regarding the Visa.. make sure its not like the American ESTA which is only valid for entry by air, if entering by sea its a different Visa, the B1/2 Visa.

[slug]

Originally Posted by boatman61

No way Jose..
No VAT Refunds on secondhand goods.
Also.. regarding the Visa.. make sure its not like the American ESTA which is only valid for entry by air, if entering by sea its a different Visa, the B1/2 Visa.

Well....I’m presently negotiating with a broker in the Netherlands

2012 yacht , Dutch flagged charter boat

Vat refunded if I reflag and export out of Eu

The deal has not yet gone thru...I will post if the VAT reclaim was successful

[Franziska]

Be careful that you get offered and guaranteed a FULL VAT refund.

Second hand goods usually get only a very very small amount refunded, if any.

Originally Posted by slug

Well....I’m presently negotiating with a broker in the Netherlands

2012 yacht , Dutch flagged charter boat

Vat refunded if I reflag and export out of Eu

The deal has not yet gone thru...I will post if the VAT reclaim was successful