2027 Boat Tax: What's Changing for Recreational Boaters
The boat tax will change effective January 1, 2027. The reform of the annual tax on personal watercraft (TAEMUP) will, among other things, change the way in which a boat’s engine power is calculated.
The government’s stated goal is to make the taxation of recreational boating fairer and simpler, while adapting it to technological advances and the ecological transition in the boating industry.
For the vast majority of recreational boaters, however, this reform does not mean the introduction of a new tax. According to the Ministry of Ecological Transition, more than 90% of registered boats will remain exempt from this tax.
But this news raises a broader question for boat owners and prospective buyers: How much does it really cost to own your own boat?
Because beyond taxes, becoming a boat owner also means paying for a berth, insurance, upkeep, maintenance, and the various expenses that come with owning a boat.
It is also in this context that new uses are emerging. Among them is boat subscriptions offers another way to enjoy regular boating without necessarily becoming an owner.
Here’s what you need to know about the 2027 boat tax, and what this change tells us more broadly about new ways of enjoying recreational boating.
A Reform of the Boat Tax Effective January 1, 2027
On July 17, 2026, the government issued a statement regarding the reform of the annual tax on personal watercraft (TAEMUP).
This change will take effect on January 1, 2027.
However, this is not merely an announcement. The main changes are set forth inArticle 66 of Law No. 2026-103 of February 19, 2026, on the 2026 Budget.
The reform is therefore already provided for by law.
Among the significant changes, the portion of the tax related to engine power will be based on the concept of propulsive power, expressed in kilowatts, rather than on the former criterion of administrative power for the relevant threshold.
The law defines this propulsion power as the sum of the maximum net powers of the engines used directly or indirectly to propel the vessel.
This new method should make it possible to better account for the engines actually installed and technological advances in boats.
Official sources: Ministry of Ecological Transition, press release dated July 17, 2026, regarding the reform of recreational boating taxation; Law No. 2026-103 of February 19, 2026, on the 2026 budget, Article 66.
Why are boat tax laws changing?
The government is presenting this reform with several objectives in mind: to make the tax system fairer, simplify it, and promote the ecological transition.
One of the main changes concerns how a boat's power is measured for the corresponding tax component.
Starting in 2027, the system will rely on propulsion power expressed in kilowatts.
In particular, this change makes it possible to better incorporate advances in propulsion technologies and to address certain alternative powertrains—such as electric and hydrogen—more explicitly.
The reform, therefore, does not simply involve raising or lowering an existing tax. It changes certain criteria used to determine how the tax is applied and calculated.
2027 Boat Tax: Which Boats Will Be Affected?
That's probably the first question recreational boaters ask themselves.
And one point must be made clear: Not all boats will be taxed in 2027.
Liability for the TAEMUP depends on the vessel’s characteristics and the provisions of the Code of Taxation on Goods and Services.
A new power-based threshold
Effective January 1, 2027, the power threshold used for the relevant criterion will change.
In particular, the reform replaces the reference to an engine power of at least 22 chevaux with a propulsion power of at least 120 kW.
As a rough guide, 120 kW is equivalent to approximately 163 metric horsepower.
This conversion makes it easier to visualize the power level in question, but one should not conclude from this that a boat automatically becomes subject to taxation as soon as it reaches 120 kW.
The tax treatment depends on all the criteria applicable to the vessel.
The length of the boat is still taken into account
The hull length also continues to be a factor in the calculation of the tax.
The scale scheduled to take effect in 2027 for the length-based component includes the following amounts:
- less than 7 meters: €0;
- from 7 to less than 8 meters: €80;
- from 8 to less than 9 meters: €110;
- from 9 to less than 10 meters: €185;
- from 10 to less than 11 meters: €250;
- from 11 to less than 12 meters: €285;
- from 12 to less than 15 meters: €470;
- from 15 to less than 24 meters: €900;
- 24 meters and over: 1,200 €.
These amounts correspond to the portion of the schedule based on hull length. They should therefore not automatically be interpreted as the final amount of tax owed by each owner.
Other factors may come into play depending on the boat's specifications.
More than 90% of boats would remain exempt from the tax
This is a key figure for putting the reform into perspective.
In its statement dated July 17, 2026, the government indicates that more than 90% of registered vessels will remain exempt from the tax.
In other words, the 2027 reform does not mean that the entire French recreational boat fleet will be subject to a new tax.
For many owners of small units, it may not result in any tax changes at all.
How will the boat tax be calculated in 2027?
One of the major changes concerns the boat's power system.
A scale based on propulsion power
Starting in 2027, the law provides for a marginal rate applied in increments based on propulsion power:
- up to 159 kW: €3 per kW;
- from 160 to 299 kW: €4 per kW;
- from 300 to 999 kW: €5 per kW;
- 1,000 kW and above: €6 per kW.
One important point to understand about this scale is that it operates in power brackets.
Therefore, you shouldn't simply take the boat's total power and multiply it by the rate corresponding to its highest tier.
As with any tax calculation, the specific situation must be assessed based on the vessel’s characteristics and the rules in effect at the time of taxation.
An advantage for electric and hydrogen-powered vehicles
The reform also introduces special treatment for certain lower-emission engines.
For taxable vessels whose energy source is exclusively electric, hydrogen, or a combination of the two, the portion of the tax based on power output is subject to a 50% reduction, subject to the conditions set forth by law.
This provision illustrates one of the stated objectives of the reform: to gradually adapt boating taxation to the sector’s energy transition.
What about sailboats?
The situation regarding sailboats warrants further clarification.
The reform provides that, for the category of taxable vessels covered by the relevant provisions of the Goods and Services Tax Code, the power-based component of the tax may be zero.
It is therefore best not to summarize the reform by stating that all sailboats would automatically be exempt from all taxes.
The situation must be assessed based on the specific characteristics of the vessel and the applicable legal provisions.
Vintage boats retain their depreciation allowances
The age of the boat is also still taken into account.
The law provides for various tax deductions for taxable vessels built before January 1, 2008, with rates that vary depending on their date of construction and the specific tax component in question.
The final amount must therefore be calculated on a case-by-case basis.
To accurately determine the tax rules applicable to a boat, we recommend consulting the official regulations in effect and, if in doubt, contacting the relevant government agencies.
What This Reform Really Means for Recreational Boaters
From a tax perspective, the 2027 reform is significant.
But it also highlights a more fundamental issue for anyone who owns or is considering buying a boat:
How much money do you really need to spend on your boat to be able to sail?
The price displayed at the time of purchase is only the first part of the equation.
Boats have one distinctive feature: it generally continues to cost money even when it’s not sailing.
Whether you go out every weekend or just a few times during the summer, a large portion of your expenses remains the same.
That is why we believe it makes more sense to consider the total cost of ownership rather than just the purchase price.
The true cost of a boat isn't limited to the tax
The 2027 boat tax is worth understanding, but it’s just one line item among many in a boat owner’s annual budget.
The Harbor Square
Depending on the port, the region, and the size of the boat, mooring can be a significant expense.
Added to this is a well-known issue in certain navigation areas: the availability of berths.
Insurance
Insurance is also an expense that should be factored into the boat’s total cost.
The amount depends, among other things, on the boat's value, its specifications, its intended use, and the level of coverage selected.
Care and Maintenance
Engine overhaul, antifouling, cleaning, replacement of parts, safety equipment, handling, winterization…
A boat must be maintained regularly to remain operational and sail in good condition.
Some expenses are predictable. Others are much less so.
A breakdown or a part that needs replacing can quickly throw off the budget set for the season.
The cost applies even when the boat remains in port
This is probably one of the least obvious factors to consider at the time of purchase.
A boat owner continues to pay for his boat even when he isn't using it.
However, the weather, work commitments, family life, or simply a lack of time can limit the actual number of days spent sailing each year.
So the right question isn't just:
"How much does my boat cost me each year?"
It can also become:
"How much does each day I enjoy it actually cost me?"
This perspective fundamentally changes the way one approaches their boating budget.
Do you still need to buy your own boat to sail regularly?
For a long time, the path of a recreational boater seemed all mapped out.
People would discover sailing, perhaps rent a few boats, and then, as their desire to sail became more frequent, buying a boat seemed like the logical next step.
Today, this model is no longer the only one.
Renting remains a particularly good option for one-time outings.
Ownership in a condominium allows for the sharing of certain costs, but it also requires cooperation among the owners.
Boating clubs offer other ways to get involved in boating.
And the boat subscription offers a new solution: sailing regularly without necessarily having to buy your own boat.
It is precisely this conviction that led us to develop Liberty Pass.
We believe that many recreational boaters are looking for one simple thing above all else: the ability to enjoy a boat on a regular basis without having to devote a significant amount of their time to managing it.
The reform of the boat tax scheduled for 2027 obviously does not, on its own, call into question the benefits of becoming a boat owner.
Nevertheless, it highlights a reality: when you buy a boat, the cost doesn't end with the price you pay on the day of purchase.
Any applicable taxes, marina fees, insurance, upkeep, and maintenance—all of these items must be included in the overall budget.
It is precisely this difference between owning a boat and enjoying a boat that our approach is based.
Our approach at Liberty Pass: prioritizing use over ownership
At Liberty Pass, we’ve chosen to separate as much as possible the joy of sailing from the burdens of boat ownership.
The concept is simple: you choose a plan and gain access to a Liberty Pass boat in your sailing area through a subscription.
We cover the main expenses typically associated with home ownership: berthing, maintenance, and insurance. We also offer guidance and coaching to help you get started with your boat.
Reservations are made directly through our app.
To ensure that each boat remains available, we limit the number of members to 6 subscribers per boat. Our system of renewable tokens then allows us to manage reservations and schedule outings.
The subscriber is responsible for the cost of fuel.
Our goal is not to replicate a traditional rental.
We want to enable our members to develop a regular relationship with their boat: to get to know it, get comfortable on board, improve their skills, and be able to sail year-round—without having to handle all the responsibilities of boat ownership on their own.
A budget with a greater focus on navigation
This is probably where this tax update most directly relates to our vision of recreational boating.
As a boat owner, you need to consider the total cost: purchase price or financing, docking fees, insurance, upkeep, maintenance, potential taxes, and unexpected expenses.
A large portion of these costs exists regardless of the number of trips actually taken.
With Liberty Pass, we wanted to offer a different approach: to bundle the main costs associated with accessing and using the boat into a single, easier-to-understand subscription, while also handling the day-to-day management.
Of course, this doesn't mean that a subscription is always better than a one-time purchase.
A recreational boater who wants exclusive use of their boat, to fully customize it, to keep it for many years, or to sail for very specific purposes will naturally prefer to become the owner.
But when the priority is to sailing regularly while reducing management burdens, it’s worth making the comparison.
So the real question is no longer just:
"What kind of boat should I buy?"
It becomes:
"Which solution really fits the way I browse?"
And that is precisely the question we are seeking to answer with Liberty Pass.
2027 Boat Tax: Beyond Taxation, the Recreational Boating Industry Is Evolving
The 2027 boat tax represents a significant change in the taxation of recreational boating.
The calculation related to the propulsion system is changing. Propulsion power replaces administrative power as the relevant criterion. Exclusively electric or hydrogen-powered vessels are subject to special treatment. And according to the government, more than 90% of registered boats are expected to remain exempt from the tax.
But this reform also speaks to a broader issue.
Recreational boating is evolving.
Boats are evolving. Engine technology is evolving. So are boaters' expectations.
Owning a boat remains—and will always remain—a pleasure for many enthusiasts. But it is no longer the only way to go sailing regularly.
One-time rentals, condominiums, yacht clubs, boat memberships: each model is designed for different uses.
At Liberty Pass, we chose the subscription model because we’re convinced that some boaters today want to sail more and spend less time on administrative tasks.
Our role is to take care of everything related to the boat so that our members can focus on what really matters: planning a trip, picking up their boat at the marina, setting out with family or friends, and enjoying their time on the water.
Ultimately, the 2027 boat tax reform does not change this conviction.
It simply underscores the importance of looking at the actual cost of the property as a whole, rather than just the purchase price of the boat.
And ask yourself this question before your next purchase:
To enjoy boating on a regular basis, do I really need to own a boat?
Official sources
The information regarding tax reform presented in this article is based, in particular, on:
- the press release issued by the Ministry of Ecological Transition on July 17, 2026, regarding the reform of recreational boating taxation;
- Article 66 of Law No. 2026-103 of February 19, 2026, on the 2026 Budget;
- the relevant provisions of the Goods and Services Tax Code.
Since tax rules may depend on the specific characteristics of each vessel, this information is intended for general guidance only and does not replace a review of a vessel’s individual circumstances in light of the official regulations in effect.
FAQ
What will the new boat tax be in 2027?
Effective January 1, 2027, the annual tax on personal watercraft will change. Among other things, the reform modifies the calculation related to engine power by introducing the concept of propulsive power, expressed in kilowatts, as the relevant criterion.
Will all boats be taxed in 2027?
No. According to the Ministry of Ecological Transition, more than 90% of registered vessels will remain exempt from the tax. Whether a vessel is subject to the tax depends on its characteristics and the provisions set forth in the regulations.
At what power level does this apply to a boat?
Effective January 1, 2027, the reform will, among other things, replace the threshold of 22 administrative horsepower with a threshold of 120 kW of propulsion power for the relevant criterion. This corresponds to approximately 163 mechanical horsepower. However, this threshold alone is not sufficient to determine a boat’s full tax status.
Will electric boats be subject to the tax in 2027?
When a taxable vessel uses only electricity, hydrogen, or a combination of these two energy sources, the power-based component of the tax is subject to a 50% reduction, subject to the conditions set forth by law.
Do older boats still qualify for a discount?
Yes. For taxable vessels built before January 1, 2008, the law provides for various reductions depending on their date of construction and the applicable tax component.
Is it possible to go sailing regularly without buying a boat?
Yes. There are several options available depending on how often you sail: rental, co-ownership, a sailing club, or a boat subscription. At Liberty Pass, we offer a subscription that provides regular access to a boat, with the berth, maintenance, insurance, and support all included. Trips are booked through our app, and the number of subscribers is limited to six per boat.
What if your next boat didn't have to be yours?
Tax laws are changing. Boats are evolving. So is the way we sail.
At Liberty Pass, we believe that the joy of boating shouldn't necessarily come with all the hassles of ownership.
We take care of the dock space, maintenance, and insurance. We’ll help you get started with the boat. You can book your outings through our app and enjoy your time on the water.
Is sailing your top priority? Check out the Liberty Pass boats available near you and find the plan that best suits how you like to enjoy the sea.
Liberty Pass
Liberty Pass offers you the best alternative to ownership and charter. Subscribe to the boat of your dreams, free from the constraints of ownership, and sail where you want, when you want, from €199/month, all inclusive.
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