Boat Registration in UK

[David_Old_Jersey]

Originally Posted by goboatingnow

Avoid so called professional advice. Unless the person has serious credentials in boat VAT and is specific to a country in question. Otherwise you get nonsense.

Dave

Whilst you are in many respects right .....with large numbers involved, especially dealing abroad (unfamiliar territory) and with a known potential downside ($$$) from getting things wrong - I would personally start from the position that Professional Advice should be obtained from someone with a Proffesional Qualification (Lawyer / Accountant - and in this case who specialises in Tax / VAT / Boat matters, rather than simply counting beans etc for the local mom and pop store)...........and IMO ideally a firm of more than one man and a dog / website .........and has experiance of the envisaged transaction (no point paying for someone else's learning curve - it happens!).....unless (until?) I get to the point of being comfortable without the paid for Proffesional Advice - as you suggest, paying for advice can be worthless......but put some effort into picking an advisor carefully (and being willing to put hand into pocket accordingly) and it doesn't have to be.

My previous comments were on the assumption that the folk concerned would not be paying for the first firm they simply Googled up.

But, as always, nothing in life guaranteed - albeit you generally do get out what you put in - whether cash and a bit noggin. or solely noggin.

[goboatingnow]

My advice wasnt about professional services in general. But to get specific reliable information you need VAt advisors that understand the specific VAT law associated with boats ( new means of transport )

Then you have to filter the received knowledge because sometimes its impossible to stay within the letter of the VAT law. Equally do you really want a professional opinion on file if you do transgress.

Yes by all means fire away , but it can bring as much confusion as it seems to solve. Even normal business VAt issues can be a struggle to resolve.

Then add the language barrier, etc

Dave

[MacG]

Depends entirely on the country of origin and who had owned the boat and if the boat is new or 2nd hand. A company can or may keep a boat for business reasons outside the VAT. As soon as it is sold - f.e. a rental that is sold to a private person - the countries VAT becomes applicable. The percentage is per country different. Luxemburg is as far as I know the lowest in the EU.

[goboatingnow]

Originally Posted by MacG

Depends entirely on the country of origin and who had owned the boat and if the boat is new or 2nd hand. A company can or may keep a boat for business reasons outside the VAT. As soon as it is sold - f.e. a rental that is sold to a private person - the countries VAT becomes applicable. The percentage is per country different. Luxemburg is as far as I know the lowest in the EU.

I want to deal with this, firstly in relation to a European corporation.

Firslty using a corporate asset for private use , is subject to benefit in kind taxes

Secondly as a boat is above the VAT threshold, the business must be VAT registered, hence 2 months returns, Then there is the issue of "self supply" i.e. you must charge yourself Vat for its use.

Thirdly you cannot runs loss making company forever as you run foul of various laws relating to reckless trading , etc.

Secondly as you are VAT registered Vat has to be charged on a sale within the EU unless the buyer is VAT registered. This is irrespective of how the boat got into the company in the first place.

Like I said unless you are a legitimate company, like sail training, or charter ( loads of laws here), then forget it. Its the first dodge customs look for.

Dave