sales tax and use tax -logistics

[tpuckett]

We are buying a Cat in St. Lucia and only plan to sail the Caribbean 6 months every year.

In the off season we will keep it on the hard in Trinidad.

We might bring it to Florida or Georgia for a month or two just to put in a solar system and a water maker.

My question is about registration and sales and use taxes.

We are not planning on keeping it in the states except for a short time for repairs or upgrades.

Can we even visit the states for repairs and refits.
I have spoken to about 4 people in the business and get different answers.

Does anyone out there know the real answer to this stuff.

Greatly appreciate any help.

[tpuckett]

disregard, I will take the boat in Non US waters to work on it.
Some states are 10 days, some are 90 days.

[Dsanduril]

Where will the boat be registered/flagged? If outside the US then you'll have to deal with a cruising permit. But, that may be easiest in the scenario you describe.

If you register/document the boat in the US (you can do this even if the boat is not in the US) then on your first visit to the US you will owe import duties on the boat unless it meets the requirements for an exemption. In general duty is 1.5% of the value/purchase price.

On top of that you have the state sales/use taxes. Every state is different, so it gets complicated. Most states will allow you a few months visit without having to pay taxes. However, if you bring the boat into the state where you are resident/domiciled you may owe tax immediately. All depends on the specific state and your own residence.

[tpuckett]

Dsanduril, Thanks. You understand completely. We are never going to leave it in the US. So a foreign flag is the way to go. The only time we would visit the states is to get a repair or a part. The whole point of cruising for us is to be in the Caribbean and when the seasons over we are certainly not going to store it in the hurricane box so parking far south makes the best sense.

[Nicholson58]

Welcome to Trinidad. Many of us cruise the Caribbean November to June and haul out for hurricane season. Chaguaramos, Trinidad at Peaks or Power Boat. If you stay aboard it’s possible to cautiously live in the southern islands and be ready to run south if a storm heads your way. You tend to get nearly a week to avoid the big stuff.

There have been recent postings on your question. BVI/UK is apparently possible registry without establishing residency.