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Old 11-09-2020, 13:10   #1
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Purchase of Malo 42 should I register with USCG

I am looking to purchase a 2001 Bluewater sailboat in Grenada. This is our first sailboat purchase and here we are looking to purchase outside US. The boat is registered in Germany with EU VAT paid per the broker. The broker stated most buyers from the US register their boats with USCG. If we plan on coastal cruising the US would registering the boat with the USCG be our best option? Should we have our documentation handled by a professional service? If anyone has any suggestions or opinions, please share. Thanks
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Old 11-09-2020, 13:17   #2
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Re: Purchase of Malo 42 should I register with USCG

If you are positive you have a clear title and when buying a German boat you get a bill of sale and an official title it is very easy to handle the documentation yourself.
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Old 11-09-2020, 13:53   #3
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Re: Purchase of Malo 42 should I register with USCG

Beautiful boats, Malos! There's a smaller one for sale in Annapolis, but it looks as if she had an altercation with a dock.

Congrats on yours!
Fair winds,
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Old 11-09-2020, 13:56   #4
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Re: Purchase of Malo 42 should I register with USCG

Thank you for your quick response. If I register the boat with the USCG can I freely cruise in the US as well as put it up on the hard for hurricane season if necessary.
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Old 11-09-2020, 14:50   #5
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Re: Purchase of Malo 42 should I register with USCG

If you are a US citizen you can get a Certificate of Documentation
from USCG and be unrestricted on cruising in US waters.
However, depending on where you cruise or put up on the hard, you may be required to pay taxes to the particular state and possibly register it in that state; each has their own requirements.
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Old 11-09-2020, 15:29   #6
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Re: Purchase of Malo 42 should I register with USCG

A couple of things.
1. Will you ever take the boat to Europe and want to spend some time there?
2. Are you a US Citizen?

Assuming that you are a US citizen.
You can do this all yourself, you do NOT need an Agent.
In order to apply for USCG Documentation you need proof of the original German registration AND proof that the registration was rescinded or deleted. You also need a Bill Of Sale notarized in accordance with the Hauge Apostille Treaty. Lastly you need the builders Certificate. Do Not send originals to the USCG. Fill out the USCG form CG-1258 and the credit card form CG-7042. Send the copies to West Virginia, check online or call and bother them everyday until you hear back.

Keep the record of VAT paid, it may be helpful if you ever take the boat to the EU or want to sell it to someone from there. Going the USCG route, you are effectively exporting the boat so the VAT paid status may go away and if it ever goes back to the EU they may want it again.

State registration is separate and states want tax money. If you are staying in the Caribbean, and getting USCG documentation but not bringing the boat to the US then you should not need to register it in any state and do not need to pay tax to the state. If you ever bring it back to the US and keep it in a particular state then they may want taxes.

Also: register with the FCC and get a ship station license and a restricted radio operators permit.
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Old 12-09-2020, 12:38   #7
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Re: Purchase of Malo 42 should I register with USCG

Pretty boat. USCG documentation not a requirement, but here in Connecticut state registration is, regardless of documentation or not. Cant speak to what other states require. Documentation is simple, I renewed it on my boat upon purchase, I think the fee was somewhere about $50-70/year. I had the new paperwork back a few weeks after I completed the forms, I believe there were two, one of which was for my credit card. Best to you with your "new" boat.
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Old 12-09-2020, 14:58   #8
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Re: Purchase of Malo 42 should I register with USCG

Quote:
Originally Posted by Vwal View Post
I am looking to purchase a 2001 Bluewater sailboat in Grenada. This is our first sailboat purchase and here we are looking to purchase outside US. The boat is registered in Germany with EU VAT paid per the broker. The broker stated most buyers from the US register their boats with USCG. If we plan on coastal cruising the US would registering the boat with the USCG be our best option? Should we have our documentation handled by a professional service? If anyone has any suggestions or opinions, please share. Thanks
A great boat! I went through a similar situation with my Contest 43 (Same breed) As far as I remember (and I may be wrong here) there was no way to register with the USCG before her actual arrival and import through customs in the US, so registered first in Delaware - no sales tax there. It was a very quick and easy process. Needed the bill of sale, power of attorney and former registration and de-flagging from Germany - all notarized in Germany by the former owner and again by a local notary public in the US.

One more thing I had to do do was to leave the island (St Lucia) first under the original entry and the appointment as a captain by the original owner, sail to Martinique and enter already under the American flag, registration and new name and return to St Lucia (actually on the same day) as a ‘new’ boat. It also helped as it enabled me to keep the boat there for six more months where the original boat permit was close to expiration.
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Old 12-09-2020, 15:07   #9
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Re: Purchase of Malo 42 should I register with USCG

Documentation costs $26 every year, last I checked (2020). Most states require taxes to be paid if the vessel is in their waters for a certain amount of time - regardless of where the owner lives - in addition to any Documentation. Marinas and harbormasters are required to report vessels so that the taxing authorities can keep track. California is reportedly quite aggressive about this, for example.
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Old 12-09-2020, 16:06   #10
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Re: Purchase of Malo 42 should I register with USCG

I thank everyone for their helpful input. We’re finding the purchase of this lovely Malo a bit problematic because of COVID restrictions in Grenada at this time. We’re continuing to attempt to work through the restrictions.
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Old 12-09-2020, 19:04   #11
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Re: Purchase of Malo 42 should I register with USCG

As has been mentioned several times on the forum, in the United States "registration" is done at the state level only, and "documentation" is through the US Coast Guard's National Maritime Documentation Center.

If this boat is foreign flagged in order to document her with the USCG you must deflag and then reflag to US. If foreign built you should have a copy of the original builder's certificate of origination.

If you only wish to state register check with you state for the details.

Watch out for websites with names like the National Maritime Documentation "Agency" or "Office" or something else. Many of these are scams to get your money. If the web address does not have "dco.uscg.mil" after the www. it is a for profit business, some are good and some are not. If deflaging from foreign you may want to use a well recommended agency sometime this gets complicated.
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