Antaq publishes revision of the rules for the charter of maritime support vessels
The Resolution N. 44 of the Brazilian Waterway Transportation Agency (“Antaq”) was published in the Federal Official Gazzette on April 22, 2021, promoting important changes to the rules regarding the charter of maritime support vessels.
The resolution results from the decision of Antaq’s Board of Directors, which, on the occasion of its 498th Ordinary Meeting, held on April 08, 2021, approved the revisions of Normative Resolution N. 01/2015 and Resolution N. 1,811- Antaq, of 2010, to allow E&P companies, not authorized as Brazilian Shipping Companies (“EBN”), to enter into time charter contracts for maritime support vessels.
The revision of the rules to allow the charter of maritime support vessels by non-EBNs was officially included in Antaq’s Regulatory Agenda in the 2016-2017 biennium and has remained under discussion since then. According to the General Director of Antaq, Mr. Eduardo Nery, the changes proposed by the Agency will allow a more efficient use of available resources, in addition to reducing bureaucracy.
According to the rules previously in force, the sub-charter of foreign vessels whose registration or Charter Authorization Certificate (“CAA”) were still in force had to comply with the Normative Resolution N. 01/2015 and could only be authorized if the parties used a time charter type of contract. Additionally, the sub-charter depended on express provision in this regard in the underlying charter contract.
Moreover, a non-EBN E&P company that intended to hire a vessel for maritime support operations had to enter into a Services Contract with an EBN, which triggered the Tax on Services Tax (“ISS”).
In the new regulatory scenario approved by Antaq, EBNs will be allowed to sub-charter foreign vessels chartered under a bareboat charter contract.
Additionally, non-EBN E&P companies will be entitled to enter into charter contracts with EBNs. For this, the EBN must remain with the nautical management of the vessel and the E&P company, which must be the final beneficiary of the maritime support activities, will not be allowed to use the chartered vessel to provide services to third parties nor to sub-charter the vessel.
As such, the new regulation will reduce the tax burden on maritime support operations and will be more aligned with the international markets.
Antaq’s Resolution N. 44 came into force on May 03, 2021 and is available here, in Portuguese.
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