EU Agent to import parts for 'Boat in Transit'

[Anders]

Originally Posted by ccannan

As I see it you have three options.

Option 1) purchase your item from the vendor in Alicante and take delivery of it in Alicante (VAT free). I did this when I purchased a Highfield dinghy in Spain. I believe it was shipped from Barcelona to me in Cadiz. I emailed the vendor that I was a US citizen on a US flagged yacht in transit and I was VAT exempt and they didn't question me about it, and I didn't have to pay VAT on that purchase.

Option 2) Purchase your item from a non-VAT country (i.e. the USA) and ship it to Gibraltar. Same idea. You'll have to specify that you are a yacht in transit. I purchased anti-fouling in the USA that I couldn't purchase in the EU, and had it shipped to the Gibraltar marina. I get a highly discounted shipping rate with FedEx. I had to pay a fee to a Gib customs agent to clear it in, but never had to pay VAT. Mind you I might have had to pay some US sales tax (7-8%).

Option 3) Purchase the item from a Gibraltar based in vendor.

I have personally used all 3 options, and didn't pay EU VAT. All purchases were made between 2015-2019.

Option 1 is not actually an option and any EU vendor that does this will be in trouble if he's audited and will have to pay the VAT.
Option 2 is certainly legal but does not have to be shipped from a non VAT country. Any EU seller can ship VAT free when the destination is outside the EU VAT area. There has in the past been import duties in Gibraltar but not sure what the situation is now.

[goboatingnow]

Originally Posted by Anders

Option 1 is not actually an option and any EU vendor that does this will be in trouble if he's audited and will have to pay the VAT.
Option 2 is certainly legal but does not have to be shipped from a non VAT country. Any EU seller can ship VAT free when the destination is outside the EU VAT area. There has in the past been import duties in Gibraltar but not sure what the situation is now.

The problem is the intended address. If the address is perceived to be European ie a boat European vat law does not ex empty leisure boats irrespective of their location. the seller is expected to charge and collec the va due. Hence if you give a boat address “ yacht xyz , gib etc” yiu will be correctly charged vst by the seller.

[goboatingnow]

Originally Posted by goboatingnow

The problem is the intended address. If the address is perceived to be European ie a boat European vat law does not ex empty leisure boats irrespective of their location. the seller is expected to charge and collec the va due. Hence if you give a boat address “ yacht xyz , gib etc” yiu will be correctly charged vst by the seller.

I should say “ does not excempt the boat because of its destination the legal onus resides with the seller not the receiver

[goboatingnow]

Originally Posted by goboatingnow

I should say “ does not excempt the boat because of its destination the legal onus resides with the seller not the receiver

Correct it’s a seller issue not a receiver the seller remains liable for any vat mistake

[goboatingnow]

Originally Posted by goboatingnow

Correct it’s a seller issue not a receiver the seller remains liable for any vat mistake

An agent is useless unless you are vat registered

[ccannan]

It is not the critic that counts... (you can look up the rest). As previously stated, I have personally purchased items VAT free in Spain and Gib as described, when described.

When shipping to Gibraltar you may not have list "yacht in transit". Just call the Gib marina. Tell them you want to ship something to the marina, and that you will pick it up there.

[goboatingnow]

Originally Posted by ccannan

It is not the critic that counts... (you can look up the rest). As previously stated, I have personally purchased items VAT free in Spain and Gib as described, when described.

When shipping to Gibraltar you may not have list "yacht in transit". Just call the Gib marina. Tell them you want to ship something to the marina, and that you will pick it up there.

My point was addressing “ yacht in transit “ that designation no longer removes vat liability.

Of course shiping to an address in gib will result in no vat being applied ,assuming the seller is agreeable.

My issue was “ shiping to a yacht. The eu seller is obliged to charge vat irrespective

[donradcliffe]

It was pre 2015, but I got Vat free gel batteries in Gibraltar. I did pay VAT on the life raft I bought in Almerimar.

[abacaxi]

Fascinating discussion. Thank you all so much for taking the time.