Customs import duty US - French boat

[ED-M]

I bought a new French boat in 2021 and accepted the boat in the USVI. Flagged the boat US. Now I just brought it back to the United States and need to pay tax/import duty. Determining and paying duty seems complicated. Do most people us a customs broker and do you have a recommendation for one? Or is it simpler than it seems. Any advice is greatly appreciated.

[Montanan]

I would have thought that the boat was imported upon clearance via US Customs and Border Patrol upon arrival for sale in the USVI by the importer of record [e.g., the manufacturer] and any duty would have been paid so as to avail the good to be sold in commerce.

https://www.cbp.gov/travel/pleasure-...tions/pr-us-vi

[capn_billl]

Boat paperwork can be complicated.

I used a broker. Any Marine title service can also do it, or refer you.

[donradcliffe]

USVI is a duty free zone. If they want more than 1.5% on the mainland, get a customs broker.

[Montanan]

Originally Posted by donradcliffe

USVI is a duty free zone. If they want more than 1.5% on the mainland, get a customs broker.

Ah yes, "Boats placed into charter service in the U.S. Virgin Islands are exempt from all import duty and excise taxes. Legislation, enacted in 1994, completely eliminates all taxes on boats, boat engines and boat parts in The U.S. Virgin Islands."

[PippaB]

It is not that complicated, we imported our French-built boat. Duty rate at the time was 1.5%. There's an additional fee that is capped at just under $500 and a filing fee of $75 on top of the duty.

CBP has a not very good article with a couple of useful links.

1. Fill out engine declaration form
2. Visit CBP with your proof of ownership and bill of sale demonstrating boat value (this part does become more difficult if you are trying to claim a different value than what you paid, or if the sale was a long time ago). Complete Form 7501.
3. Pay money
4. Receive from CBP Form 7501 back, stamped by CBP. Keep form forever, this is the only proof you get that duty has been paid and boat properly imported.

[shimari]

I'm using Linda Jordan (ljordan@masterpieceintl.com) at Masterpiece International. I'm arriving on a ship so there are other fees, bond, and there is something that must be done prior to the ship's arrival or there's a terrible fine.

No idea what's required if you're sailing her in, but Linda is very good and probably worth an email.

[Hobby]

Originally Posted by PippaB

It is not that complicated, we imported our French-built boat. Duty rate at the time was 1.5%. There's an additional fee that is capped at just under $500 and a filing fee of $75 on top of the duty.

CBP has a not very good article with a couple of useful links.

1. Fill out engine declaration form
2. Visit CBP with your proof of ownership and bill of sale demonstrating boat value (this part does become more difficult if you are trying to claim a different value than what you paid, or if the sale was a long time ago). Complete Form 7501.
3. Pay money
4. Receive from CBP Form 7501 back, stamped by CBP. Keep form forever, this is the only proof you get that duty has been paid and boat properly imported.

Thank you for that very thorough explanation.
If a customs broker is used, do you know if CBP returns Form 7501 to the customs broker or is it sent directly to the owner of the boat.
Thanks

[PippaB]

No idea, never used a broker coming into the US

Having used them a bunch of times in the other direction, I would expect a good one would make sure you ended up with what you need, of course the difficulty is in discerning the good ones.

[Hobby]

Originally Posted by PippaB

No idea, never used a broker coming into the US

Having used them a bunch of times in the other direction, I would expect a good one would make sure you ended up with what you need, of course the difficulty is in discerning the good ones.

Yes, difficult to select a good one, especially when we only buy boats occasionally.

[redneckrob]

For a boat that new you could probably just deal with it yourself, but I found it impossible to get in touch with anyone from the side of customs that deals with that. If the boat was any older I would definitely go with an agent so you don't mess up gett8ng them the right emissions info on the engine(s). I remember the custom agent fee being peanuts and it was well worth not having to deal or worry about it for me doing the same thing (French boat into the U.S.)

[PippaB]

The engine stuff is probably the most troublesome, the Customs stuff is easy. What you really need is the 'Certificate of Conformity' for the engine. You can start at the EPA website https://www.epa.gov/compliance-and-f...-and-equipment. Assuming diesel, the engine listings are in an Excel file (way to go US government).

Easiest way to get the certificate is to get it from the engine manufacturer, but if that presents problems you can go through the Excel file and contact the EPA:

If you were unable to find in the database a Certificate of Conformity or test data for a heavy-duty highway or nonroad engine, please provide the following information to EPA’s Imports Hotline by: email to Imports Hotline at Imports@epa.gov; fax to 734-214-4676; or phone to 734-214-4100.

[jmschmidt]

That is not how it works. US flagged vessels of foreign build must be imported into the US. Duty and a whole bunch of other fees must be paid within thirty days. Clearing in on arrival or on the internet has little or nothing to do with meeting the import requirements.

[jmschmidt]

South African build boats should be duty free, but it seems that CBP has a new lady lawyer in DC who is trying to make a name for herself by taking a strained interpretation of the international treaty that grants duty free status to many African produced export products including boats. Pres. Clinton renewed this treaty until at least 2025.

Good luck.

[Radio]

Hi ED-M
I do have similar situation. Need to buy a new French boat in France, used it for up to 18 months in med and bring her home to US, hope not paying VAT. I am US citizen and resident.
What is the end of your journey ?
Can you share some info ?