Non USA citizen want to buy a boat in USA, how register the boat?

[luciano Rod]

Hi Savoir,

I mean enlightening!!!
Empanadas, yes I like too (kkk).

[luciano Rod]

Hi Savoir,

I mean enlightening!!!
Empanadas, yes I like too (kkk).

[luciano Rod]

Hi Savoir,

I mean enlightening!!!
Empanadas, yes I like too (kkk).

[goboatingnow]

Originally Posted by Kiwi399

I am thinking of going the Jersey route. I understand you pay a flat fee that lasts for 10 years - thats a good long time to not have to eff about worrying about it once you get it all set up.

Why are you a jersey or UK resident ?

Dave

[David_Old_Jersey]

Originally Posted by goboatingnow

Why are you a jersey or UK resident ?

Dave

Don,t need to be a jersey resident - register open to eu folks and former colonies (except US).

[Niagara Les]

Don't mean to hijack the thread here, but along the same lines...

If one was a Canadian wanting to bring the boat that he bought in the US back to Canada....
Say that the boat was owned by a Delaware US company, US registered, could the boat then be brought into Canadian waters avoiding paying our HST?
Seems absolutely absurd to pay harmonized sales tax on a 40year old boat (13% of purchase price).

Got me thinking now, maybe we don't import the boat to Canada, just use it here?

[Prairie Chicken]

My understanding is that you only pay the HST if you bring her into Canada for greater than a certain period of time but I don't recall how long. I read the former owner of a certain coffee shop and owner of SY Destination Fox Harbor would bring her into Canada but couldn't keep her here as he wasn't prepared to pay the HST.

[SVTatia]

Originally Posted by Niagara Les

Don't mean to hijack the thread here, but along the same lines...

If one was a Canadian wanting to bring the boat that he bought in the US back to Canada....
Say that the boat was owned by a Delaware US company, US registered, could the boat then be brought into Canadian waters avoiding paying our HST?
Seems absolutely absurd to pay harmonized sales tax on a 40year old boat (13% of purchase price).

Got me thinking now, maybe we don't import the boat to Canada, just use it here?

Originally Posted by Prairie Chicken

My understanding is that you only pay the HST if you bring her into Canada for greater than a certain period of time but I don't recall how long. I read the former owner of a certain coffee shop and owner of SY Destination Fox Harbor would bring her into Canada but couldn't keep her here as he wasn't prepared to pay the HST.

You pay the HST if and when you register the boat in Canada.
I had to pay the taxes on my 45+ years old boat that I got in the US.
You can keep the US flag and use the boat here, but somehow you need to insure it to have it at a club or marina, and once they start asking questions...

[Prairie Chicken]

You pay the HST if and when you register the boat in Canada.
I had to pay the taxes on my 45+ years old boat that I got in the US.

SV Tatia, do you have a reference, and are you talking about provincial taxes or HST? It is certainly not our experience. We used to see Destination Fox Harbour in Halifax quite a bit but word was she could only spend a few weeks in Canada or Ron would have to pay the HST on her. I searched Google to find a reference myself and haven't been able to find anything although there is a lot of reference to paying provincial taxes. Specifically, I believe the OP was asking if he'd have to pay GST/HST if he bought a boat outside of Canada, registered it in Canada, but never brings the boat into Canadian waters.

[Captain Ludd]

Originally Posted by Prairie Chicken

…….. I believe the OP was asking if he'd have to pay GST/HST if he bought a boat outside of Canada, registered it in Canada, but never brings the boat into Canadian waters.

I don't know anything about Canada but what you have described above is exactly the same as in the EU.

[yah mon]

Originally Posted by SVTatia

You pay the HST if and when you register the boat in Canada.
I had to pay the taxes on my 45+ years old boat that I got in the US.
You can keep the US flag and use the boat here, but somehow you need to insure it to have it at a club or marina, and once they start asking questions...

this applies for Canadian citizens, Importing marine pleasure craft
So if u are Canadian and not plan on boating in Canada then don't bring it.

And this applies to non residents, Travellers - Temporary Importation and Retention of Foreign Vessels in Canada by Non-residents.
Max stay 12 months

[FeBR]

I think Luciano really wants to know and I also know to is:
As foreigner if we bought the boat with US flag from the former owner
and we do just only state registration in his name an get the receipts and proof of purchase and sale.
the real question is:
Can we go cruising with these papers? do we will have a problem to enter other countries in caribean or central america with US registration in the name of old owner and prove of purchase en his name?

[skipmac]

Originally Posted by FeBR

I think Luciano really wants to know and I also know to is:
As foreigner if we bought the boat with US flag from the former owner
and we do just only state registration in his name an get the receipts and proof of purchase and sale.
the real question is:
Can we go cruising with these papers? do we will have a problem to enter other countries in caribean or central america with US registration in the name of old owner and prove of purchase en his name?

Hello FeBR.

I think you are partially correct in your understanding. First there are two very different ways to "register" a boat in the USA. One is called documentation, which is done with the US Coast Guard and is only for US citizens. The other, as you seem to know, is registration with one of the US states. While the process is similar in most states, each state makes the regulations for their state and there are some differences.

As far as I know, there is no restriction with any state against registration by a non US citizen so this part will not be a problem. Where I think you are confused is the name. When you buy a boat and register with a state it will be in your name. The previous owner's name will be removed from the records and all the documents will be in the name of the new owner. Again, this will not be a problem for a non citizen but there are some other issues you might have to deal with.

First, if the previous owner has documented the boat with the USCG before you can register the boat you must file a form to remove the USCG documentation. This should be an easy process and if you have questions the USCG documentation office has a direct phone number and is very helpful.

Second, you may have a tax to pay. All US states have a sales tax which is similar to a VAT. The tax is based on the value of the item and is usually around 6%. Even if you are not a US citizen and do not live in in the US, if you register the boat in a state, most states will require you to pay the sales tax. There are a few that do not charge a tax on used boats. Rhode Island is one.

Regarding travel with state registration documents. I cruised the Caribbean for a few year with a state registered boat and never had a problem. Someone on this forum said that the French islands like Martinique might question these but I have never heard of a specific problem. One forum member has cruised all over the Pacific for years with only state registration papers and never had a problem.

Hope this helps.

[FeBR]

Thank you for your helpfully answers.

Originally Posted by skipmac

Regarding travel with state registration documents. I cruised the Caribbean for a few year with a state registered boat and never had a problem. Someone on this forum said that the French islands like Martinique might question these but I have never heard of a specific problem. One forum member has cruised all over the Pacific for years with only state registration papers and never had a problem.
Hope this helps.

This is the important and really matters
and what most foreigners need to know.
We can only buy a sailboat in USA and sailing away with no problem.

but a second question appears
which flag to use? For me the answer is, use the flag of your nationality, if you are Brazilian use the Brazilian flag, if you are Argentinian use the Argentine flag. or no flag. Do you see any problems with that?

Originally Posted by skipmac

Second, you may have a tax to pay. All US states have a sales tax which is similar to a VAT. The tax is based on the value of the item and is usually around 6%. Even if you are not a US citizen and do not live in in the US, if you register the boat in a state, most states will require you to pay the sales tax. There are a few that do not charge a tax on used boats. Rhode Island is one.
Hope this helps.

This is another subject but foreigners can have some advantages too if they are not staying in the USA.

[skipmac]

Originally Posted by FeBR

This is the important and really matters
and what most foreigners need to know.
We can only buy a sailboat in USA and sailing away with no problem.

That has been my experience and also the experience of some other cruisers. Of course I am not an international legal expert but I would think cruising the Caribbean or even Europe and the Pacific with registration papers and a title from one of the states in the US should not be a problem.

Originally Posted by FeBR

but a second question appears
which flag to use? For me the answer is, use the flag of your nationality, if you are Brazilian use the Brazilian flag, if you are Argentinian use the Argentine flag. or no flag. Do you see any problems with that?

For this question I am not so certain but in my opinion you should fly the flag of the country where the boat is registered. That is what the boat's documents would say and I think the flag should match the boat.

Originally Posted by FeBR

This is another subject but foreigners can have some advantages too if they are not staying in the USA.

Based on the regulations for all the states I know, you will have to pay the tax if you register the boat in that state. It does not matter if you do not live in the state and it would not matter if the boat is not moored in that state. If you register the boat in the state that state will want the taxes to issue the registration papers. The only exception will be the states that do not charge a tax for the sale of a used boat. Again I know that Rhode Island does not. There are one or two others but I cannot remember which ones. I know that most states on the US east coast will charge the tax. This will include Florida, Georgia, N and S Carolina, Massachusetts, Connecticut and some of the others as well. Also a few states have an annual tax they charge for anything of value you own like a property tax.