Boat taxes in US

[Jack_Sparrow]

Hello,

I have a yacht bought in Italy and I have meanwhile found buyer for her from USA. Question of mine is if a European (EU) company (mine) would sell yacht in USA what taxes/duties are required to pay ?

Another question is who is paying these taxes/duties buyer or seller ?

[2Hulls]

I think you have two choices:
1. Import the vessel into the US - you pay the duty - or you cannot sell it in US waters, or
2. Sell it to a US citizen/resident outside of US waters, then the buyer will have to import it and pay the duty.

Dave

[Jack_Sparrow]

Originally Posted by 2Hulls

I think you have two choices:
1. Import the vessel into the US - you pay the duty - or you cannot sell it in US waters, or
2. Sell it to a US citizen/resident outside of US waters, then the buyer will have to import it and pay the duty.

Dave

Does this duty depend on sth ? Yacht value/lenght etc?

[CarstenWL]

... value for sure.

https://help.cbp.gov/app/answers/det...e-into-the-u.s.

Carsten

[Jack_Sparrow]

Originally Posted by CarstenWL

... value for sure.

https://help.cbp.gov/app/answers/det...e-into-the-u.s.

Carsten

Thanks a lot

[adlib2]

Originally Posted by Jack_Sparrow

Hello,

I have a yacht bought in Italy and I have meanwhile found buyer for her from USA. Question of mine is if a European (EU) company (mine) would sell yacht in USA what taxes/duties are required to pay ?

Another question is who is paying these taxes/duties buyer or seller ?

Depends on The State in the US where it becomes registered. Last time I checked it was 6% of the Boat Value. Greatly reduced if boat is 30 yrs old qualifying as a classic.

[sailsw00]

The US import duty on used boats manufactured abroad is 2% of the sales value. (It is differrent for dinghies and outboard motors.) It can supposedly be paid through a bond, although the process mystifies me.
-Steve

[Sand crab]

Actually the import duty is 1.5% (see the link above). You can not attempt to sell a foreign flagged boat if it's in the US unless you state this:

"Why are some yachts “not for sale to US residents while in US waters”?

You will see this term next to many yachts advertised for sale or charter. Any non-USA built vessel which has never paid USA Customs duty, or a USA built vessel that has been exported and is currently foreign flagged, can not be offered for sale or charter to US citizens while in USA waters until making a formal USA entry. USA duty, assessed at 1.5% of the appraised value, is a one time taxable event. A duty free formal entry can be made if duty had previously been paid and can be proven with a receipt or a returning USA built vessel."

Frequently Asked Questions | superyachts.com

The buyer might have to state register the boat which can be from 0% to 6% depending on the state. He will pay this.

[Privleoplag]

and then there's the engine emission regulations that have to be met..

[Moontide]

There are two kinds of taxes to be concerned with.

Import Duty - will apply if the boat is "imported" into the US. Puchase by an American delivered within US is imported.

Sales Tax - Depends on the state the transfer takes place in. Many states have no sales tax on boats, others are expensive.

[Cheechako]

The import duty is very low as noted above. ~1.5-2% depending on a bunch of unclear stuff. State taxes are more and apply to the buyer.

[jmschmidt]

Where was your boat built? Some boat-building countries' (like South Africa) products are duty exempt when reflagging to US.

[Jack_Sparrow]

Originally Posted by jmschmidt

Where was your boat built? Some boat-building countries' (like South Africa) products are duty exempt when reflagging to US.

It was built in Italy