How to know if my boat is US duty paid ?

[phmadeira]

hello
I have a boat Britih virgin island flag
it was prevouily in USA

how can i know if the boat is US duty paid ?

I like to sell it in florida

Thank you

[Zanshin]

If the boat now has a BVI flag, then it was de-flagged in the USA and thus any duties, insofar as they are applicable, would need to be paid again upon re-flagging in the USA.

I believe you are thinking of the EU VAT (TVA) status when selling, that does not exist as such in the USA.

I've often seen notes on boats for sale stating "not for sale in US waters to US citizens", I believe that is when foreign flagged vessels in the US are put for sale. I guess that you would have to consummate the sale outside of US waters. I've sold 2 boats that were foreign-flagged to the USA in the BVI and the paperwork was never a problem, using a broker.

[Sand crab]

Did I read here somewhere that importing a boat into the US is only 1.5% plus fees? And if the boat was US, Canadian or Mexican made then you probably won't even have to pay that thanks to NAFTA.

[phmadeira]

Duty is approximately 1.6% of the appraised value of the boat

[phmadeira]

So if i sell my boat in US water
I have to pay Duty 1.6%
And selling tax 6%

I am right ?
Any other thing to pay
When you put a selling price on a local classified does this tax are included or not
On the bill of sale do i have to add 6% on the bill

thank you

[jeremiason]

Phmadeira

Remember you have to be a citizen of the USA to Document your vessel with the US Coast Guard, unless you establish a Corporation. I say this since your profile says you are in France, forgive me if I am wrong.

Here is a good FAQ Web Page with answers to Documenting your vessel:
Coast Guard Documentation Information - MarineTitle.com

A a Forgien National, you can register the vessel with the individual states, which normally is issued by the State's Deprtment of Motor Vehicles and is referred to a Boat Registration (Not Documentation)

As far as US Customs Duty, it is 1.5% of the value of the vessel. Here is the US Custom Web Page that explains it:
https://help.cbp.gov/app/answers/detail/a_id/1184/~/importing-a-boat-for-personal-use-into-the-u.s.

Once the boat enters the US, most states will require you to pay a sales tax or Use Tax or both. This varies wildly from state to state, including how much you pay or even pay at all. It all centers on the primary berthing spot for the boat, not which state charges less. So you should do some research if you have flexablity where to keep it.

When you sell the boat, the new owner would be required to pay the Sales Tax, not you.

[Sand crab]

Sales tax depends on which state the boat was sold in and which state it will be registered in. It can be 0% and is paid by the buyer. There is no federal sales tax.

[Kettlewell]

This is confusing for those not from the USA. We have 50 states with 50 different sets of rules and regulations regarding sales and use tax and registration on boats. You do not need to import the boat yourself--sell the boat to the new person outside of the USA and let them deal with the importation and sales tax issue.

[jeremiason]

Originally Posted by Sand crab

Sales tax depends on which state the boat was sold in and which state it will be registered in. It can be 0% and is paid by the buyer. There is no federal sales tax.

Here is another link to that show what States charge in Sales Tax:

Sales taxes in the United States | Ask.com Encyclopedia

As I said before it varies wildly... From zero in Delaware to almost 10% in some California Counties.

Doing your research before you bring the boat into the US will save you money in the long run.

[jeremiason]

I am not sure the OP like our answers since he has now posted the same question on another thread:
http://www.cruisersforum.com/forums/...on-102315.html

[Kettlewell]

I think the OP is finding the term "sales tax" confusing. That is a tax that must be paid (in most states) by the new purchaser of the boat, not by the seller of the boat.

[FLLCatsailor]

You would have to pay duty on the boat, but a smaller percentage... It's called return of good sold, or something along those lines.

I've always use Steele Reeder out of Miami Florida to import boats for clients. They will be able to answer your question.

The buyer pays 6% sales tax

[svlamorocha]

Originally Posted by phmadeira

hello
I have a boat Britih virgin island flag
it was prevouily in USA

how can i know if the boat is US duty paid ?

I like to sell it in florida

Thank you

I understand that in the "duty paid" status of a boat i snot transferrable to a new owner. That said, this was the one bit of received wisdom that I could not trace back to the CFR (probably my fault)..

Where was the boat made? If in North America and you can prove that then no duty is payable regardless of flag, location history, or seller´s nationality. Sales and use taxes are another story.

Another story (for boats made outside North America) is that if the boat changes hands outside the US and the new US owner reflags ("documents it" it into USCG registry) and/or registers it with a state before sailing it back to teh US it is LIKELY he will get away without paying duty (or proving that the outboard of the dinghy meets EPA rules, etc) when he sails the boat in the US the first time. I have seen it happen. Even another story is that he may be caught years later...

Cheers

C

[phmadeira]

Hello thank you for all your anwer
And sorry for the doble thread
I was just confusing about sale taxe and duty

As i understood the buyer has to pay the sale tax
For the us duty 1.5 still dont really know
And some people say better to sell the boat oversea ?
Why ?

Do i just need to give him a bill of sale and the deregistration paper

Thank you

[skipmac]

Originally Posted by phmadeira

Hello thank you for all your anwer
And sorry for the doble thread
I was just confusing about sale taxe and duty

As i understood the buyer has to pay the sale tax
For the us duty 1.5 still dont really know
And some people say better to sell the boat oversea ?
Why ?

Do i just need to give him a bill of sale and the deregistration paper

Thank you

Hello.

Maybe I can clarify.

What is Sales Tax (also called sales and use tax). This is a tax a buyer pays when purchasing goods. This tax is charged by each state and the tax rate and how it is charged will be different in each state. For example, some states will charge 6% sales tax on the price of a used boat. Some states will charge no tax at all.

Import Duty. I think you already understand this but some additional information. The import duty on many goods may be different depending on where the goods were produced. If you boat was made in the USA then there would be no duty. You would not owe duty unless you import the boat or sell the boat in the US for use in the US. If you sold the boat in the US to another French sailor who leaves the US and registers the boat in France

Would you have to pay sales tax? Probably not. Most states in the USA only charge sales to the buyer if they have recently purchased the boat. As a non-USA citizen and I assume you have owned the boat for more than a year or so, then you would probably not have to pay sales tax. Certainly not in Florida, but if you sell the boat in Florida then the buyer will owe sales tax unless he leaves the state before 30 days.

Hope this is helpful for you.