TTM03610 | Qualifying companies and ships: Non-qualifying - services normally provided on land

Examples of disallowable types of business

A vessel cannot be a qualifying ship if the main purpose for which it is used is the provision of goods or services of a kind normally provided on land (see TTM03610).

Examples of businesses where this rule applies include:

• retailers (including shops and supermarkets),

• restaurants,

• hotels - a ship-based holiday where the ship remains moored and there is no sea transportation element does not qualify for tonnage tax,

• prisons,

• radio stations,

• casinos - a ship that sails out of territorial waters to operate gambling facilities does not qualify for tonnage tax,

• financial service providers, and

• offices.

This list is not exhaustive.