Policy paper

Revenue and Customs Brief 5 (2016): Tonnage Tax - qualifying ships and flagging

This brief is to make shipping companies aware that for the purpose of Tonnage Tax flagging rules 2016 will not be an ‘excepted year’.



This HM Revenue and Customs brief explains If during financial year 2016 a company in Tonnage Tax starts to operate a ship that is not registered in a European Union (EU) or European Economic Area (EEA) member state, then they must carry out a ‘flagging test’ to determine whether the ship qualifies for Tonnage Tax. The financial year 2016 is the year beginning 1 April 2016.

Published 4 February 2016