Taxes on drinks

I read that even with the UBP if the ship is in port you are charge a tax on drinks. Can you tell me is this done on all cruise lines or just on NCL. We have done a lot of cruising but never paid attention to this. Is this charge when they are tied up to a dock only or does it continue on til the ship is a distance from shore?

I believe all cruise lines charge it. If you are in a port that requires the cruise line to collect sales tax, they will do so. Usually it happens until you are in international waters.

All of the cruise lines must charge tax on drinks purchased prior to reaching international waters but it's not a huge amount and certainly is not going to keep me from drinking for the first few hours of my cruise!

Just an FYI..on our last cruise..leaving out of NYC....they were using paper not computer receipts for awhile (while docked and at sailing)...and though they said we would be charged sales tax..it never did go onto our account. I believe once they switched over to the computers...it was charged to our account..

I believe that the main ports for taxes on drink while in port are the ports in Texas. This is applied till the ship is out of the 12 mile limit.

It depends on the port (and sometimes on the itinerary) and it's not just Texas. Some cruise lines reportedly don't collect tax in cases where NCL does, they are either paying it on passengers' behalf and/or violating local tax laws.

I read that even with the UBP if the ship is in port you are charge a tax on drinks. Can you tell me is this done on all cruise lines or just on NCL. We have done a lot of cruising but never paid attention to this. Is this charge when they are tied up to a dock only or does it continue on til the ship is a distance from shore?

 

The tax is minimal per beverage- as someone else said , it won't keep me from imbibing!

 

Several times we have purchased the soda package for the kids while in port and the ship didn't process the transaction until the next day, saving a few dollars for us.

 

It also only is in American ports . I don't know what they do in Europe , however.

Thank you for this thread. So, when Im leaving Breakaway I will be taxed. How about our three days in Bernuda?

 

Thank you.

For what it's worth.....I asked a customer service rep (the one that the chat box pops up when you go on the NCL site.) I told her I got the UBP when I booked my cruise and I paid the 18% gratuity and service tax on it. I asked if there were additional taxes when we are in a port and she said no. I saved the screen shot of what she said but I don't know how to attach it. I hope that means no additional charges and I can drink in port without paying anything else.

The Getaway, in December, had me sign a paper receipt while in the Miami port prior to the ship leaving after embarkation. This was tied to the state tax on drinks while in port. I had the UBP. I was not charged for the drink, however the 5 or 6% state tax on purchases showed up on my room charge for the week -- 50-70 cents per drink if I recall. Once we let port (not sure exactly how far from shore we were), they stopped making me sign anything and there was no state tax added on. Remember, the 18% you pay up front on the value of the UBP is for the gratuity/service charge given to the servers as part of their compensation package. The additional tax you pay on the drink while in a port that charges it, is a state (or perhaps local municipality) SALES TAX. It goes to the government. Not the employees or cruise line.

Edited July 24, 2016 by MeHeartCruising

Thank you for this thread. So, when Im leaving Breakaway I will be taxed. How about our three days in Bernuda?

 

Thank you.

 

No tax while docked in Bermuda, only when at the dock in New York City.

For what it's worth.....I asked a customer service rep (the one that the chat box pops up when you go on the NCL site.) I told her I got the UBP when I booked my cruise and I paid the 18% gratuity and service tax on it. I asked if there were additional taxes when we are in a port and she said no. I saved the screen shot of what she said but I don't know how to attach it. I hope that means no additional charges and I can drink in port without paying anything else.

 

You paid the 18% gratuity and service charge, not tax. You didn't pay a penny in tax.

 

The cruise line is obligated to remit sales tax to the government on anything sold while in a port where such taxes are imposed, such as NY City. On certain European itineraries you'll have to pay VAT (value added tax) during the entire cruise, even while not in port.

 

You will be charged the applicable tax if you're in a port or on an itinerary that charges it.

Edited July 24, 2016 by njhorseman

For what it's worth.....I asked a customer service rep (the one that the chat box pops up when you go on the NCL site.) I told her I got the UBP when I booked my cruise and I paid the 18% gratuity and service tax on it. I asked if there were additional taxes when we are in a port and she said no. I saved the screen shot of what she said but I don't know how to attach it. I hope that means no additional charges and I can drink in port without paying anything else.

You don't say which port(s) you're talking about. Maybe the chat rep really looked it up and gave you accurate info for your cruise. Because what she said is true for most sailings. But if it turns out they do charge taxes on your cruise, your screen shot of the chat will be worth very little. I don't know how much you drink, but the taxes will be maybe $5 max for the whole cruise. In my opinion it's not worth spending your time at the front desk arguing with them, unless you actually enjoy that kind of thing.

For what it's worth.....I asked a customer service rep (the one that the chat box pops up when you go on the NCL site.) I told her I got the UBP when I booked my cruise and I paid the 18% gratuity and service tax on it. I asked if there were additional taxes when we are in a port and she said no. I saved the screen shot of what she said but I don't know how to attach it. I hope that means no additional charges and I can drink in port without paying anything else.

Good luck. You should bring your invoice showing you paid the service tax to prove you paid service tax for sales tax charged in ports for alcohol. Wondering how much would they know to charge you, did they ask you how many drinks you would be having in each port that charges the sales tax? Out of curiosity, how is this service tax charge worded on your invoice? Edited July 24, 2016 by NLH Arizona

You guys are really going to argue over $10 in taxes? Yeesh...

This sales tax is also charged in many European ports as well...... it's not just a US thing.. averaging 5-7%

I'm pretty sure the tax is charged out of the Florida ports as well. And seriously, you're not going to drink because of maybe max $10 in taxes. :rolleyes:

I'm pretty sure the tax is charged out of the Florida ports as well. And seriously, you're not going to drink because of maybe max $10 in taxes. :rolleyes:

 

It is charged in Miami. Agree the taxes don't /won't stop us. We could run between $ 10-15 on taxes before we sail at 7 p.m.

 

It is a non-issue. Rolling eyes also!

Ok, I'm still not sure I get it. I have the unlimited beverage pkg on my upcoming cruise. I can order a drink up to a value of $15 right? Does the tax and gratuity get charged to my shipboard account or is it included in the value of the ubp? I haven't cruised NCL before so only know what other cruise lines do. Thanks.

Ok, I'm still not sure I get it. I have the unlimited beverage pkg on my upcoming cruise. I can order a drink up to a value of $15 right? Does the tax and gratuity get charged to my shipboard account or is it included in the value of the ubp? I haven't cruised NCL before so only know what other cruise lines do. Thanks.

With regard to the gratuities, it depends on when you booked your cruise. If you look on your reservation confirmation, it will show if you are paying the gratuities or not and if you are paying them, it will be due upon your final payment. The taxes are charged to your shipboard account when you order a drink in the ports where sales taxes are charged.

I read that even with the UBP if the ship is in port you are charge a tax on drinks. Can you tell me is this done on all cruise lines or just on NCL. We have done a lot of cruising but never paid attention to this. Is this charge when they are tied up to a dock only or does it continue on til the ship is a distance from shore?

 

I believe it is only charged when in port within the USA but I could be wrong. I do know it is a law, but I also know for years the lines were not paying any attention. That has changed.

Thank you for all your responses. I was not concerned with the cost of the tax but was interested in if you are charged at all us cities. We have done over 30 cruises but never paid attention and this is the first cruise that we are getting the UBP. I certainly would not order a drink because of an additional 1.00 or less of tax. We plan on spending it before our children get it!

I booked with a group and the gratuities are paid, so do I need anything in writing?

Edited July 25, 2016 by realnurse2

I read that even with the UBP if the ship is in port you are charge a tax on drinks. Can you tell me is this done on all cruise lines or just on NCL. We have done a lot of cruising but never paid attention to this. Is this charge when they are tied up to a dock only or does it continue on til the ship is a distance from shore?

 

It's local/state law so it is always technically charged but not all cruise lines pass this onto their customers via their onboard account. For example, Celebrity. You will never see such a tax charges to you. They must have figured out the average cost and built it into their beverage package or cruise cost. NCL? Apparently they want to let you know they are charging you personally every penny they can despite the fact that they have the most expensive beverage package by far, of the major lines.

For what it's worth.....I asked a customer service rep (the one that the chat box pops up when you go on the NCL site.) I told her I got the UBP when I booked my cruise and I paid the 18% gratuity and service tax on it. I asked if there were additional taxes when we are in a port and she said no. I saved the screen shot of what she said but I don't know how to attach it. I hope that means no additional charges and I can drink in port without paying anything else.

 

 

You paid the 18% gratuity. There is no such thing as a "service tax", so you didn't pay one.

 

 

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