VAT Refund - Canadians in Belgium

[stormalong]

My experience with this is old but may still apply.

I was in the UK for the winter of 2002-2003. That spring I purchased and installed a Beta 50 HP engine and purchased an SCS Pactor modem. UK was part of the EU at that time. Beta Marine was no problem as they export engines all the time. There were two SCS dealers in the UK and one would refund the VAT, the other would not. You really need to ask this question prior to purchase.

I cleared out of the UK for Norway by phone and mailed the VAT paid receipts to UK Customs. They stamped them and forwarded them to the sellers. Both sellers issued credit card credits for the VAT.

Norway is not part of the EU. I specifically chose Norway so I could get back the VAT on my expensive engine. IIRC I had 90 days from purchase to exit the EU.

As a side note, The north sea was dead flat calm when we left. Had to motor the whole way (450 nm). Did the first (50 hour) engine oil change adrift in the north sea.

[Montanan]

Originally Posted by goboatingnow

Sure it's not there isnt any legal text

Oh wait

Here's the direct piece for the EU Difective covering VAT

CHAPTER 6

Exemptions on exportation

Article 146

1. Member States shall exempt the following transactions:

(a)

the supply of goods dispatched or transported to a destination outside the Community by or on behalf of the vendor;

(b)

the supply of goods dispatched or transported to a destination outside the Community by or on behalf of a customer not established within their respective territory, with the exception of goods transported by the customer himself for the equipping, fuelling and provisioning of pleasure boats and private aircraft or any other means of transport for private use;



What part of " with the exception of ....equipping .....a private boat " is difficult to follow,Yiu can't reclaim vat on bits for boats.

Excellent citation, GOBOATINGNOW.



That exception to the exception of applying VAT for exported goods is logical because in the instance of "equipping, fueling, and provisioning of pleasure boats . . . " the good is being used and / or consumed within the EU. The good is not merely being purchased in the EU and exported for use or consumption outside the EU.

This would be very similar to purchasing a meal at a restaurant, or renting a car to travel in the EU, or buying drinks in a pub, the good is being USED in the territory, not being transported externally outside the territory before being used.

This would be very similar to a USE taxation that many states of the USA impose.

The tax is of the Privilege variety, a taxation of the privilege to use in the EU.

Seemingly if the good was brought onboard as mere transported cargo on the vessel then it seems that an exception to VAT could be warranted and a refund applied for.

So under Chapter 5, Article 146 there appears to be no exception to VAT warranted for goods purchased for the pleasure boat.

[Happ]

Originally Posted by Elephant Shoes

Hi all - we are Canadian and recently purchased a boat in the Netherlands. We are doing a significant electrical and battery upgrade in Belgium this spring before starting the journey westward (plan is to be in the Canaries by September 2022 and in the Caribbean in January 2023). I am trying to sort out if we can claim a VAT refund for the VAT on the parts that are being installed (lithium batteries and other components). My understanding is that the VAT on the service portion of the installation is not refundable but I am hoping there is some way to claim a refund for the VAT on the parts/components since the boat will be leaving the EU. I have seen recent threads on this topic with respect to Spain (which suggested that a refund is unlikely) but just thought I check in hopes that the answer might be different for Belgium.

It was also suggested to me that if the boat is owned in a corporation, it may be possible to get a "foreign VAT number" which would allow the installers to delivery the parts/components without charging VAT. I haven't been able to find any information online on that.

Any info would be much appreciated!

Thanks!

Good luck. You bought the parts in the EU.