Q&A: Tax considerations for long-term cruise passengers

Author details

Melissa Thomas is a director within the international tax team at Blick Rothenberg. She can be contacted by email: melissa.thomas@blickrothenberg.com.

The recent news covering the Villa Vie Odyssey cruise ship which was stuck in Belfast for five months while undergoing emergency repairs raises a question surrounding the tax position of its passengers.

After delays the liner finally raised anchor in early October leaving UK waters and began heading towards Bilbao.

What is changing?

Many of the passengers on board have signed up to the ‘Endless Horizons’ programme. With a one-time payment of US$300 000 for single occupancy and US$500 000 for double occupancy they are eligible to live on the ship with everything included within that fare – other than meals activities and amenities. The inaugural cruise is scheduled to last three and a half years.

What is the question?...