The 75% limit on charters-in: How to calculate
Example 4: Ships operated for varying periods during accounting period
A group has five tonnage tax companies. For the year ended 31/12/2003 the representative company summarises the ships operated as:
|Company||Ship||Control||No. of days||Net tonnage|
|Company 1||Bulk 1||Finance leased||365||11000|
|Company 2||Bulk 2||Owned||365||2800|
|Bulk 3||Owned & bareboat chartered out to 3rd party (long term)||30/12/1900||22500|
|Bulk 1||5 year time charter from Co 1||365||11000|
|Company 3||Bulk 5||3 year time charter||365||21000|
|Company 4||Reefer 1||Owned||365||7500|
|Company 5||Bulk 6||35 day voyage charter||35||22500|
|Reefer 3||60 day voyage charter||65||8100|
|Bulk 7||47 day voyage charter||47||24000|
The ton-days should be calculated for each ship and apportioned between owned and bareboat chartered vessels and those time or voyage chartered-in. Where a vessel is chartered within a group, it should only be counted at its highest level of control. Non-qualifying vessels should be disregarded.
|Ship||Net tonnage||No. of days||Ton-Days||Ton-Days Owned||Ton-Days Chartered-in|
- Bareboat charter-out makes Bulk 3 a non-qualifying ship, which is disregarded
** Bulk 1 has been chartered intra-group, so is also disregarded.
So the percentage is 17,194,500/34,714,500 x 100 = 49.5 (below the 75% limit).
|How to calculate 75% limit||TTM05200|