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Old 04-02-2015, 14:43   #16
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Re: Sales Tax and registration

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Originally Posted by Island Time O25 View Post
But your post is exactly what I am talking about. Why is it that those who always want the gov't to do more but usually from collecting someone else's money?

That's precisely what I said. Everybody wants services. They just want someone else to pay for them.

If you're keeping your boat in a state, you're using their services, so pay their taxes.
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Old 04-02-2015, 14:55   #17
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Re: Sales Tax and registration

i think you can keep it in florida temporarily but if you bring her back to georgia you will need to register and pay the state taxes there
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Old 04-02-2015, 15:04   #18
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Re: Sales Tax and registration

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Originally Posted by Island Time O25 View Post
The scary part for me is not this advice but the fact that the states have usurped what used to be purely Federal gov't and boat owner relationship and turned it upside down and made the boat owner a criminal for not acquiescing to the states' unconstitutional money grab. Go back 100 years and under that same set of circumstances no one in their right mind would have allowed for a state to charge sales or use tax on a Federally registered vessel.
Can you provide the data to prove states taxing of federal registered vessels is unconstitutional?

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Originally Posted by Island Time O25 View Post
It's usually the other way around. People who clamor the loudest for gov't services are the ones who don't pay their share either by claiming poverty or using highly paid army of accountants. But your post is exactly what I am talking about. Why is it that those who always want the gov't to do more but usually from collecting someone else's money? If you feel that the numerous gov't projects require more of your tax dollars no one is stopping you from sending them more than is due from you on April 15. Just don't try to stick others with that bill.
It's called human nature.
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Old 04-02-2015, 15:50   #19
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Re: Sales Tax and registration

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Can you provide the data to prove states taxing of federal registered vessels is unconstitutional?
Are you arguing that a state where the boat is NOT registered should have the right to levy taxes upon such boat? Because this is exactly what the state is doing to a boat that is Federally registered. Now if the Federal gov't decides to levy such sales tax I would have no issue with that (other than the usual gripes about paying too much and too many taxes) but I do have an issue with a state trampling on Federal registration area.

BTW our own then Sen Kerry had the same gripes and as a result used to register and keep (until the media got a hold of that fact) his mega million yacht in neighboring RI which (wisely) does not levy a sales tax on boats.

I personally have little skin in this issue as all of my boats have been too old and too cheap to incur a significant sales tax but I would definitely hate to part with a good chunk of my hard earned money to a state where the boat is used for less than 6 months if I ever considered a more newish and thus more expensive boat. Under the current state tax schemes even if you're using the boat in the taxing state for less than 6months it incurs the sales tax as they would not register it w/o a tax receipt from that state's DOR. But if you're keeping her the other 7 months a year on the hard in the no sales tax state how is that 5 months trumps the 7 months?
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Old 04-02-2015, 16:10   #20
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Re: Sales Tax and registration

The solution for Oregonians or others from non-sales taxed jurisdictions (who are allowed up to 180 days in WA without the tax/users fee) is to keep their boat in British Columbia, where your boat can remain for a year, longer if you have work done on it. You simply spend some time in WA or AK for a period to reenter and start a new year. People are allowed only 180 days per year, so not a great live aboard option.
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Old 04-02-2015, 16:18   #21
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Re: Sales Tax and registration

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Originally Posted by Island Time O25 View Post
Are you arguing that a state where the boat is NOT registered should have the right to levy taxes upon such boat? Because this is exactly what the state is doing to a boat that is Federally registered. Now if the Federal gov't decides to levy such sales tax I would have no issue with that (other than the usual gripes about paying too much and too many taxes) but I do have an issue with a state trampling on Federal registration area.

BTW our own then Sen Kerry had the same gripes and as a result used to register and keep (until the media got a hold of that fact) his mega million yacht in neighboring RI which (wisely) does not levy a sales tax on boats.

I personally have little skin in this issue as all of my boats have been too old and too cheap to incur a significant sales tax but I would definitely hate to part with a good chunk of my hard earned money to a state where the boat is used for less than 6 months if I ever considered a more newish and thus more expensive boat. Under the current state tax schemes even if you're using the boat in the taxing state for less than 6months it incurs the sales tax as they would not register it w/o a tax receipt from that state's DOR. But if you're keeping her the other 7 months a year on the hard in the no sales tax state how is that 5 months trumps the 7 months?
Iím not arguing anything. Iím trying to figure out where in the constitution it says that states are not allowed to register and collect taxes on a federally documented vessels. You made the claim, Iím asking where you got this information.

As already stated, you are not required to register your boat in Florida if you are Ďpassing thruí. But, Florida assumes if youíve been here >90days, you are doing more than Ďpassing thruí, you are intending to stay, hence you must register your vessel and pay the appropriate fees. I personally have trouble reconciling this as the same timeline for automobiles is 6 months (IIRC).

Sales tax is different than requiring registration. To thwart those who attempt to evade paying sales tax, yes Florida has a 6 month expiration on paying sales/use tax for non-Florida residents, hence, register your vessel in Florida 6 months and 1 day after purchasing, no sales/use tax due. If you are a Florida resident at the time of purchase, they can/will force you to pay sales tax on purchases up to 5 years ago at registration time. Also, remember Florida is a reciprocal state when it comes to sales tax, you only owe the difference between what sales was paid elsewhere and what Florida would charge, hence, pay 5% to some other state, owe Florida 1% (up to the max. of $18k).

So, if you are not a resident of Florida, buy your boat, wait >90days before bringing it to Florida, then after arriving, wait until day 90 to register in Florida and you owe just the registration fee, no sales tax or use tax.
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Old 04-02-2015, 16:40   #22
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Re: Sales Tax and registration

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Originally Posted by Rhubarbx3 View Post
If I buy the 30' sailboat in Michigan and truck it to a Florida marina, but I live in Georgia where do I pay sales tax and where do I register the boat?
Thank you in advance for any help with this dilemma.
Michigan might let you not pay sales tax if you get the boat out of Dodge in their time frame. If so, great, register the boat in FL and pay FL sales tax when you get there.

If, however, you have to pay the Michigan sales tax then when it gets to Florida, you register it there and get a sales tax credit for what you paid in Michigan.

I believe both states are 6% so that means FL sales tax would be zero because you paid in Michigan.

In both cases you will be registering the boat where you will be using it which you said is FL.
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Old 04-02-2015, 16:50   #23
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Re: Sales Tax and registration

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Originally Posted by DotDun View Post
Also, remember Florida is a reciprocal state when it comes to sales tax, you only owe the difference between what sales was paid elsewhere and what Florida would charge, hence, pay 5% to some other state, owe Florida 1% (up to the max. of $18k).
I doubt that this applies to the OP but here is where it gets tricky. Up to a $300,000 purchase price what you said makes sense. Over that and things get interesting.

Let's say you buy a $400,000 boat in a 5% sales tax state and pay the sales tax there. That tax is $20,000. When you get to Florida and register they want 6% up to a max of $18,000. So in this case, because you paid over $18,000 you will owe no Florida sales tax but you still paid $20,000!

Best scenario if it can be done is to not pay the other state and wait until you ge to FL to pay their max tax of $18,000. You save $2,000.

Under $300,000 it doesn't matter unless the other state has a higher than 6% sales tax. If so, you also want to try and not pay until you get to Florida.
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Old 05-02-2015, 06:47   #24
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Re: Sales Tax and registration

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Originally Posted by WindwardPrinces View Post
The people who avoid/evade taxes...
"Avoiding" and "evading" taxes are two EXTREMELY different things! So different that talking about them as if they are the same is very misleading.

"Avoiding" taxes is a term that refers to arranging your transactions such that you incur the minimum legal tax obligation. It is a perfectly legal, moral, and ethical thing to do. Not to mention the smart thing to do.

"Evading" taxes is a term that refers to violating the law. It refers to finding ways to get away with not paying the taxes that you are legally required to pay. Those who do it are criminals--plain and simple. It is illegal, it is unethical, and (like most criminal acts) it is stupid.

Please do not confound the two. Again, "avoiding" taxes and "evading" taxes are two EXTREMELY different things.
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Old 05-02-2015, 07:07   #25
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Re: Sales Tax and registration

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Originally Posted by denverd0n View Post
"Avoiding" and "evading" taxes are two EXTREMELY different things! So different that talking about them as if they are the same is very misleading.

"Avoiding" taxes is a term that refers to arranging your transactions such that you incur the minimum legal tax obligation. It is a perfectly legal, moral, and ethical thing to do. Not to mention the smart thing to do.

"Evading" taxes is a term that refers to violating the law. It refers to finding ways to get away with not paying the taxes that you are legally required to pay. Those who do it are criminals--plain and simple. It is illegal, it is unethical, and (like most criminal acts) it is stupid.

Please do not confound the two. Again, "avoiding" taxes and "evading" taxes are two EXTREMELY different things.

If you arrange yourself in such a way as to avoid the tax by implying that your intent is other than what it really is, you're evading. So, for example, registering the boat in a non-tax state, keeping it in a different state, and then moving it to the state where you intend to keep it, specifically to avoid taxation, is evading the tax.

e∑vade
əˈvād/
verb
gerund or present participle: evading
escape or avoid, especially by cleverness or trickery.
"friends helped him to evade capture for a time"
synonyms:elude, avoid, dodge, escape (from), steer clear of, keep at arm's length, sidestep; Morelose, leave behind, shake off;
informalgive someone the slip
"they evaded the guards"



antonyms:confront, run into

  • (of an abstract thing) elude (someone).
    "sleep still evaded her"
  • avoid giving a direct answer to (a question).
    "he denied evading the question"
    synonyms:avoid, dodge, sidestep, bypass, shirk, hedge, skirt around, fudge, be evasive about; informalduck
    "he evaded the question"
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