Bring yacht back to Australia from NZ

[Montanan]

You may desire to see if the boat was under a temporary import permit when originally in Australia, if the boat was intended and did get transported in a timely basis out of OZ.

Also check to see if the owner filed an Export Declaration when he departed and cleared from OZ to NZ. Or in the alternative had a Carnet covering the boat [for its time in Oz and / or its time in NZ]

I suspect that it will make no difference to you since you are acquiring the boat which was exported by the owner and purchased by you for import to OZ.

Of potential value of such inquiry is that if the boat is returned for import by the original exporter and duty and GST was paid by the owner [if any duty was applicable, depends on where the boat was manufactured, if imported new, or was built in OZ] then there might be the possibility that the owner could sail or have sailed the boat back to OZ and receive concessions on the good as personal effects, or a drawback if it was for commercial purposes.
Wherein the sale transaction would take place in OZ with the owner having exported and reimported the same good. Devil in the details here. Failure to declare exports disables the government from discerning international trade flow and other things. "The export data provided to Customs and Border Protection is used to ensure that prohibited export goods are not exported and restricted export goods are not exported without appropriate approval. . . . Additionally, it is vital that the information provided in an export declaration is accurate as the resulting statistics provide essential information about Australia's trade status in the international environment. Trade statistics are some of the most valuable decision-making tools available to businesses competing in the international trade arena and to governments in relation to industry and foreign trade matters.
Reference: Australia's EXPORTER OBLIGATIONS AND
REPORTING REQUIREMENTS
https://www.abf.gov.au/exporting-sub...quirements.pdf


Next Reference: Export Control Manual https://www.abf.gov.au/exporting-sub...rol-manual.pdf

Page 64:

Exportation of Goods Imported Temporarily
Goods that have been temporarily imported into Australia must be reported upon export. For goods under carnet, the carnet document and goods should be presented to Customs and Border Protection. For other goods, the lodgement of Form B957
"Application under Subsection 162A(6A)" or an Export Declaration (section 162 of the Act) is required. The format of the application for permission to export and the Export Declaration is the same, and therefore an electronic application for permission to export can be lodged through ICS. A documentary (manual) application for permission to export can be lodged on an “Export Declaration” (B957 and B957a) form.
Goods that were imported into Australia on a temporary basis with a security or undertaking are assigned a temporary import number (TIN), which must be included in the Export Declaration when the goods are re-exported. The AHECC code for temporary imports (9902.20.xx) requires a TIN before the Export Declaration is validated.
For Export Declaration purposes, the goods may be classified under one of the following AHECC codes:

The applicable code appears to be

9902.20.25 Footnote b, Non-cargo (under own power)

Notes:
b These items exclude goods where a change of ownership has occurred (e.g., goods given to a foreign government under a foreign aid scheme or goods sold to a foreign government). Where a change of ownership has occurred the relevant substantive item must be used.

Carnets
Carnets are international Customs documents allowing duty and tax-free admission of goods temporarily imported under certain international conventions.
Carnets consist of a number of exportation and importation vouchers and counterfoils, which are progressively signed, stamped and acquitted by the relevant Customs administration on arrival and departure of the goods.
An Export Declaration and subsequent import declaration are not required for goods covered by a valid carnet.
Australia accepts two different types of carnets. The first type is the Admission Temporaire/Temporary Admission (ATA) carnet, issued by Chambers of Commerce under the ATA Convention or the Convention on Temporary Admission (otherwise known as the Istanbul Convention).
The second type of carnet is the Federation Internationale de l'Automobile/Alliance Internationale de Tourisme (FIA/AIT) or Carnet de Passage Douane (CPD) carnet.
These are issued by motoring associations under the "Customs Convention on the Temporary Importation of Private Road Vehicles" or the Istanbul Convention. These carnets bear the mark of the FIA and the AIT.


Thence continuing on page 66:

Temporary Exportation of Goods
Goods to be temporarily exported from Australia (not subject to carnet or entitled to use Form B263 “Goods Exported in Passenger Baggage”) are subject to normal export reporting requirements.
For Export Declaration purposes, the goods may be classified under one of the following AHECC codes:

The proper codes appears to be:

Goods exported on a temporary basis and intended to be re-imported, either:
9902.10.20 Footnote b Non-cargo (under own power)
Note:
b These items exclude goods where a change of ownership has occurred (e.g., goods given to a foreign government under a foreign aid scheme or goods sold to a foreign government). Where a change of ownership has occurred the relevant substantive item must be used.


NZ appears to provide for concessions as to goods that were exported and reimported such as an owner sailing their boat from NZ and returning after a sojourn. Likely requires to have filed an export declaration at time of departure [no ticky, no laundry kind of situations]. Always good to investigate the proper departure clearance protocols and not just jump ship and go which unfortunately many boaters do, not realizing that they are transporting goods out of and into jurisdictions which are tax worthy.

Now since you are intent on pursuing purchasing a boat in NZ for import to OZ, do recognize that there are NZ affairs to contend with. You will desire to avoid paying GST in NZ. Note that since the owner imported the boat to NZ, the owner may [read likely and / or should] have duty and GST that was due in NZ; be sure to obtain documentation of the filing and payment there of. And then investigate the proper procedures and filings for your timely exporting of the vessel from NZ so as to avoid taxation / duty in NZ, if you purchase the boat in NZ. That would be the subject worth of another thread. Your transaction appears to be a purchase with intent to export. Google time for you. Be sure to tend to NZ matters properly and be sure to attain documents and retain such. Don't wish to bend the Kiwi rules. You will become an exporter if you purchase the boat in NZ. Follow the NZ rules for exporting. I suspect you will have a narrow window of time to remove the boat from NZ to avoid paying NZ GST and may need to file an affidavit that you will remove the boat in the proscribed time period and also subsequently file evidence of its timely departure and arrival to a new country, and / or attain departure clearance from NZ customs / border agency on the day you sail away. Usually considerable paperwork involved to avoid taxation.

As to NZ Export Entry documentation.

There appears to be an exemption available for your vessel.
Reference: https://www.nzpost.co.nz/personal/se...Export%20Entry

Exemptions from lodging an export entry
* Ships and aircraft leaving New Zealand under their own power other than those departing for sale overseas.
Note added: If the boat is being transported from NZ to OZ to have the owner complete the sale to you in OZ then that exemption DOES NOT Apply. In which case the owner should file an export entry with NZ.
"An export entry is a formal declaration made to New Zealand Customs about what goods are being exported. The declaration is made under the Customs and Excise Act 1996 and in this context, the term “entry” means making an entry into the New Zealand Customs database, not entry of goods into a country.

Except in a few specific cases, all items valued at NZ$1,000 or more sent from New Zealand to an international address must have an export entry. The New Zealand Customs definition of the value of goods is the amount that the goods are being sold for, excluding international postage.

The New Zealand Customs Service screens all items to identify any security risk. In addition, the information is used to determine the flow of exports for balance of trade statistics, and tracking the export of items for GST purposes."
Further reference: https://www.customs.govt.nz/globalas...quirements.pdf



As to the vessels flagging, that should be an entirely distinct matter, unrelated to import duty and GST taxation. Registration of vessels - yet another topic chock full of details. Many vessels that are flagged by a nation never leave the nations territory, never exported; whereas some are flagged by a nation and never see the nations territory, never imported. Flagging is largely a UNCLOS matter.

Then there is the entire matter of Covid and travel restrictions and protocols to contend with. How to get to NZ when they have closed their borders. Yet another topic for a thread. Recommend starting your knowledge gathering on that subject at this link: https://www.immigration.govt.nz/abou...and-exceptions

And then there is the matter of your return from NZ to OZ. You undoubtedly speak and read Ozzie so you can search your government / province rules of the day in that regard. Tends to change frequently.

Wishing you a bon voyage, Godspeed and hoping you avoid Covid-19, or at least remain asymptomatic.

[Screw Loose]

I bought an Oz made boat in PNG and sailed it back to Australia. Although I had multiple documents demonstrating that it was Oz built, I didn’t have the docs demonstrating it had left Oz. Used an import/entry agent but had to pay import fees and duty.
$260k is not a cheap boat. If you and the seller were settled on the deal, perhaps they could bring it back into Australia and you could complete the sale as a domestic process.

[Montanan]

FYI. Regarding the Australian Export Declaration that the owner likely should have filed before departing OZ.

Section 7 – Requirements for the Archiving of Documents

Customs and Border Protection requires that documents be kept and/or archived for five years in accordance with section 240(1A) of the Act. Under section 240 of the Act, an authorised Customs and Border Protection officer may request those documents to be produced. In accordance to section 240AB of the Act, record that verifies the contents of communication with Customs and Border Protection should be kept for one year after the communication is made.
A person who is the owner of goods exported from Australia must keep all the relevant commercial documents relating to the goods that come into that person's possession or control before, or come into that person's possession or control on or after, the declaration of those goods for export. These documents are necessary to enable Customs and Border Protection to be satisfied that the details on the declaration are correct. The owner must retain such documents for a period of 5 years after the declaration is made.

Under section 4 of the Act, the term "owner" may mean any person (other than an officer of Customs and Border Protection) who has an interest in, or control of the goods in question. This term may be used for the owner, exporter or agent.
The term "documents" may include such things as:
• any paper or other material on which there is writing;
• any paper or other material on which there are marks, figures, symbols or
perforations having meaning for persons qualified to interpret them;
• any paper or other material on which a photographic image or any other image
is recorded; and
• any article or material from which sounds, images or writing is capable of being
produced with or without the aid of a computer or of some other device.
Exemptions from the above include the keeping of commercial documents:
• by a company that has gone into liquidation and that has been dissolved;
• by a class of persons that is declared by the regulations to be a class to which this section does not apply; or
• of a kind declared by the regulations to be commercial documents to which this section does not apply

Reference page 69: https://www.abf.gov.au/exporting-sub...rol-manual.pdf

[Montanan]

Regarding export and imports of small craft.

https://www.abf.gov.au/exporting-sub...rol-manual.pdf

Reference page 48:

What about small craft?

Certain ship or aircraft are referred to as ‘small craft’:
• that are not carrying any cargo other than goods prescribed in Customs
Regulation 100; and
• not being a ship or aircraft in respect of which, on its last voyage to Australia from a place outside Australia, a report of cargo was required under section 64AB of the Act.
Small craft must lodge a nil main manifest before a Certificate of Clearance is granted, however no departure report is required for these craft when a documentary (i.e. paper) main manifest is provided.
How is the Main Manifest used?
The main manifest is the final document in the export chain. It is the highest-level document and contains the information about all cargo loaded onto a ship or aircraft.
The main manifest cannot be quoted on another document.

The only exception to reporting an electronic manifest applies to those ships or aircraft that are exempt under section 118A of the Act to report electronically.

Page 63"

Customs and Border Protection clearance staff will ensure there is a Departure Report present prior to issuing a Certificate of Clearance.
Customs and Border Protection requires that the main manifest be lodged within three days after the departure of the ship or aircraft from Australia. The departure date specified on the Departure Report begins the countdown for the lodgement of the main manifest.

Certificate of Clearance
The master or pilot of a ship or aircraft (or their agent) must obtain a Certificate of Clearance from Customs and Border Protection before a ship or aircraft can depart from Australia.
Before a ship or aircraft can be granted a Certificate of Clearance, a departure report and an outwards manifest must be communicated to Customs and Border Protection.
In the case of small craft, a Certificate of Clearance may be granted once a
documentary ‘nil manifest’ is received.
Additionally, Customs and Border Protection must examine documentation required to be sighted by other government agencies (for example, coastal voyage permits issued by the Department of Transport and Regional Services). After ensuring that all relevant government requirements are met, and that an Arrival Report has been lodged under section 64AA of the Act, Customs and Border Protection will issue a B958 “Certificate of Clearance”.

Reference page 78 - 79:


Export of Small Craft

An Export Declaration is not required for:
• small craft leaving Australia after cruising around Australia on a Control Permit (formerly a Cruising Permit);
• yachts sailing overseas to engage in yacht races with the intention of sailing back to Australia;
• itinerant aircraft travelling through Australia with the intention of departing for an overseas destination; or
• Australian based aircraft that are travelling to an overseas destination but intend to return to Australia.

If an Australian based small craft returns to Australia without having being sold or having any modifications or repairs undertaken while overseas, the owners will not be required to complete an Import Declaration on their return to Australia.

A valid certificate of identification under the Shipping Registration Act 1981 must be produced in the sea environment to verify that the ship is of Australian origin.

If there are any significant changes to the certified specifications of a small craft on its return to Australia (e.g. the rig is noticeably different and appears new or a new engine has been installed), then the Owner or Master must complete Customs and Border Protection import declaration formalities.


Permanent Exportation of Ships or Aircraft

Any ship or aircraft permanently departing from Australia under its own power is required to be entered for exportation and receive a Certificate of Clearance before it departs Australia. Therefore, a ship or aircraft has been sold and is on a delivery voyage/flight overseas or if it is anticipated that the ship or aircraft will be disposed of whilst overseas, an Export Declaration should be submitted.

A ship (including an off-shore industry mobile unit, barge, lighter or other floating vessel) or aircraft exported under its own power requires an Export Declaration to be lodged covering the ship or aircraft and all associated spares that are included in the terms of sale. Because the ship or aircraft is being exported under its own power, it will not appear on a manifest. The Export Declaration must be lodged using the “Export Goods Type" field of 'OP' (Own Power) to make the EDN self acquitting.

Ship stores that are required but not included in the terms of sale are placed on the ship by making an application under section 129 of the Act on a Form 43 “Request to Load Goods (Other than Cargo) on to a Ship". An Export Declaration is required to be lodged for excisable goods that are stores and spares using "Export Goods Type" field of 'ST' or 'SP' as applicable.

Any ship or aircraft spares that are for other ships or aircraft within the company are covered by an EDN and should be manifested as cargo. Any other cargo on board would need to be manifested, however, if no other cargo is on board a 'Nil Manifest' is required (refer to the section titled "Nil Manifest Reporting"). In the case of small craft reporting a ‘Nil Manifest, the EDN may be created with a self acquitting "Export Goods Type" field of 'SP' (spares).

In all cases an "Application for Clearance" and a "Certificate of Clearance" are required (refer to the section titled "Certificate of Clearance") before the goods may be exported.

So as Paul Harvey would say at the end of his broadcasts: "And now you know -- the rest of the story. Good day."

[Montanan]

Guidance on the Custom clearance and duties / GST due on the boat when the owner imported it to NZ from OZ.

https://www.customs.govt.nz/personal...ts-and-planes/

If you're an immigrant, or are returning to New Zealand after 21 months or more overseas, you may be entitled to concessions on vehicles, boats and planes that either accompany you or are freighted separately.

Bringing in vehicles, boats and planes

You can claim a “household items” concession if:

you’re moving to NZ, or moving back after 21 months or more away, and
you’ve used the items for their intended purpose.
This means you won’t have to pay GST and duties on some items.

You can also claim concessions on:

private vehicles, including:
motorcycles
cars
scooters
motorhomes
camper vans
ambulances
boats and
aircraft.
You can import more than one vehicle, boat or plane duty-free, as long as you meet the Concessionary Requirements (PDF 102 KB) for each of them.

As a condition of the concession you will be required to sign an Undertaking that you will not sell or dispose of the vehicle, boat or plane within two years.

If you sell your vehicle, boat or plane within two years of bringing it into NZ duty-free, you must pay Customs duty and GST on a pro rata basis.

Rules on ownership and use

To qualify for a concession you will have to meet a requirement to have personally owned and used the vehicle, boat or plane for at least 1 year before your departure for New Zealand, or surrendering the vehicle for shipping.

The term personally owned includes vehicles, boats and planes leased by the importer, and vehicles, boats and planes purchased under a hire purchase agreement, provided that in both instances the terms of the lease or the hire purchase agreement have been complied with in full by the importer prior to their importation.

Vehicles, boats and planes owned and registered by a company cannot be entered under the concession as the requirement to have personally owned the vehicle, boat or plane cannot be met, as a company is a separate entity.

Documentary evidence will need to be produced to support your claim of meeting this requirement. These documents may include:

receipts showing purchase and delivery dates
registration and insurance papers
evidence when the vehicle, boat or plane was surrendered for shipping to New Zealand.

If you don’t qualify for concessions
You will have to pay:

GST and Customs duty of 5% on private boats (yachts and other vessels for pleasure or sport)

Customs clearance
Customs will assist you (provided you are a private importer) to complete a Customs clearance for your vehicle, boat or plane. To assist this process you must provide:

the BACC a Biosecurity Authority Clearance Certificate (BACC) from Biosecurity NZ (PDF 124 KB)
your passport (or a high-quality copy of it, if you’re emailing us)
an invoice or receipt showing what you paid, and when you bought it
registration/ownership details
an invoice showing freight and insurance costs for shipping to NZ and
the bill of lading or arrival notice.

Valuing your vehicle, boat or plane
If you need to pay GST on your vehicle, boat or plane, we will calculate the amount based on the sum of:

the Customs value of the vehicle, boat or plane
any Customs duties, and levies payable on the item
the freight and insurance costs of transporting the item(s) to NZ.
If you need to pay duty on your vehicle, boat or plane we will base the duty on the Customs valuation only. This is decided according to the provisions of Schedule 4 of the Customs and Excise Act 2018.

Normal valuation
In normal cases, we’ll base the Customs value of your vehicle, boat or plane on what you paid/will pay for it overseas, minus:

any overseas duties or taxes you paid, for which you received a rebate or a refund when the vehicle, boat or plane landed in NZ (you’ll need to provide evidence for this)
an allowance for depreciation if the vehicle, boat or plane has been personally owned and used by the importer not less than 90 days prior to its arrival in NZ. The depreciation rates used are aligned with the Inland Revenue rates , to a maximum rate of 75%, and resulting in a minimum Customs value of $100.
The rates can be found on the Inland Revenue website using their Depreciation Rate Finder and searching on the terms “motor vehicle”, “yachts”, “motorhomes”, or similar. https://interact2.ird.govt.nz/forms/depnrates/

Alternative valuation
If you don’t give us the correct information, we may use a different method. This includes cases where you:

bought the vehicle, boat or plane overseas for an unrealistically low price
were given the vehicle, boat or plane as a gift or prize
built the vehicle, boat or plane overseas
you restored, modified or improved the vehicle, boat or plane so that its value is significantly different than when you bought it.
In cases like this, we’ll base our valuation on:

the market value of the vehicle, boat or plane in NZ, minus deductions for things like:
overseas freight and insurance
duty (where applicable) calculated on its market value in NZ
GST (where applicable) calculated on its market value in NZ
normal mark-ups used in the industry.

[Dulls]

Is there not the issue of where the transaction takes place? If you buy an Australian yacht in New Zealand but the transaction takes place in Australia you may be ok. If however the transaction is in New Zealand......

[Montanan]

Originally Posted by Dulls

Is there not the issue of where the transaction takes place? Yes, it matters where.
If you buy an Australian yacht in New Zealand but the transaction takes place in Australia you may be ok. If however the transaction is in New Zealand......

See above for specific details as to both NZ and OZ.

[CosmicDrift]

hello Montanan, the link you have posted for the Export Control Manual does not work for me. I have not been able to find it with a Google search either. do you still have access?


In a few months I will be sailing my aus registered cat back from Indonesia. When we departed darwin in 2019 ABF made us export her. No modifications have been made while overseas.


There appears to be a multitude of personal interpretations of the legislation in ABF and it would be very nice to have their own manual to check it myself.


Thank You
Michael

[donradcliffe]

I'm thinking that the owner commissions you to deliver the boat back to OZ. Once it is cleared in, he sells it to you in OZ.

[JPA Cate]

Originally Posted by donradcliffe

I'm thinking that the owner commissions you to deliver the boat back to OZ. Once it is cleared in, he sells it to you in OZ.

^^^^That looks like it MIGHT be doable. Check the regulations!

[RaymondR]

If it is Australian registered the owner should be an Australian citizen with an Australian address in the documentation.

Do a deal to deliver it back to Australia and finish the purchase there.

[Wotname]

A reminder the OP raised the question 20 months ago.

[Montanan]

Originally Posted by CosmicDrift

hello Montanan, the link you have posted for the Export Control Manual does not work for me. I have not been able to find it with a Google search either. do you still have access?


In a few months I will be sailing my aus registered cat back from Indonesia. When we departed darwin in 2019 ABF made us export her. No modifications have been made while overseas.


There appears to be a multitude of personal interpretations of the legislation in ABF and it would be very nice to have their own manual to check it myself.


Thank You
Michael

I will repost the link:

https://www.customs.govt.nz/personal/move-to-nz-permanently/vehicles-boats-and-planes/


https://www.customs.govt.nz/personal...ts-and-planes/

Attached a copy image of the webpage address.

Hope that works for you.

[Montanan]

Originally Posted by CosmicDrift

hello Montanan, the link you have posted for the Export Control Manual does not work for me. I have not been able to find it with a Google search either. do you still have access?


In a few months I will be sailing my aus registered cat back from Indonesia. When we departed darwin in 2019 ABF made us export her. No modifications have been made while overseas.


There appears to be a multitude of personal interpretations of the legislation in ABF and it would be very nice to have their own manual to check it myself.


Thank You
Michael

Reference link for required departure reporting of small craft from Australia or a paper main manifest.:

https://www.abf.gov.au/help-and-supp...t-module-7.pdf


https://www.abf.gov.au/help-and-supp...t-module-8.pdf