Originally Posted by Cheechako
I bought/sold in the caribe. The deal was done by a document person in Florida
. The trade
technically took place in the VI's. The physical possession was taken elsewhere.
This is pretty much how it goes. What you want to avoid is import
tax right? So, it costs about $5000 to start up a foreign registered company and have them buy the boat. You of course own all the shares. You also need a resident agent for the corporation in the country you will flag it. Usually it's BVI, Anguilla
(not so much but possible), Cayman Islands
, or Antigua
. Most of the old British Territories. Caymans and BVI's are the most popular.
It costs between $1000 and $1400 to have the registered agent do the very minor paperwork for the corporation every year. It's a racket. So, if your going to have the boat for X years, figure out how much it's going to cost in the end.
For me, import
and sales taxes in the US would have been a little less then $40k. So I still am way ahead by flagging in the BVI's. Besides, having your home port Road Harbour is pretty cool.
There are also document handlers for the transaction. They make sure all the required doc's are filed so you actually own the boat after making the payment. That cost about $2500. I used Saxton out of Florida. My resident agent is Pensum in the Caymans but with a "local" office in the BVI's.
If given the option and you want to save some money
, if the boat you are buying
is already owned by a foreign corporation and it is the only asset of that corp, just buy the shares. You then skip a whole level of BS. If you want to change the name of the corp to match your boat name it's an easy process. This is what I should have done but didn't feel comfortable about it at the time and the Corp was from the Marshall Islands