Yacht sale in Antigua

[KAT1]

Does anyone have an insight into the process to get Antigua's consent to a sale of a sailboat that is occurring while the yacht is in Antigua. Antigua's Customs & Immigration Clearance has the following provision:

"(4) Yacht masters must first obtain written permission from the Antigua Port Authority and the Comptroller of Customs before attempting to sell pledge give away or otherwise disclose of this vessel or any part thereof; ......"

We are looking at buying a boat that will cleared into Antigua and we will buy it there from a private seller.

[GordMay]

Greetings and welcome aboard the CF, KAT1.
You might ask the Antigua and Barbuda Customs and Excise Division ➥ https://customs.gov.ag/contact-us/

[KAT1]

Thanks, I will ultimately contact them but at this point, I just wanted to know if anyone had the experience. I don't want to open up a rat's nest of bureaucracy.

[KAT1]

I am surprised no one has had any personal experience with this. Boats have to sell in Antigua all the time!

[boatman61]

Why not SMX.. International Airport, EU procedures makes life so simple...
Private sale.. just do the deal over a few beers at the Soggy Dollar..

[KAT1]

Antigua is where we want the boat so that is where the seller is taking it. This is our first purchase so we are learning as we go.

[boatman61]

Originally Posted by KAT1

Antigua is where we want the boat so that is where the seller is taking it. This is our first purchase so we are learning as we go.

Suggestion.. Get the owner to pick you up in St Martin and do the deal then get him to sail with you to Antigua..
Mind if he's coming from say Trinidad that would be a pain, but if say the BVI's it's on his way..
Or.. Ignore me..

[Montanan]

Typically a good that has been imported into a country under a temporary admission protocol [e.g. a cruising permit, or a vessel in transit status] can not be offered for sale or be sold without first having permanently imported it which implies having paid customs duty, fees, and perhaps of highest cost VAT.

https://customs.gov.ag/

Address:
Customs and Excise Division Headquarters
Lower Church and Thames Street
St. John’s, Antigua

Section Number
Switchboard 462-0026, 462-0028 OR 562-2975, 562-2926
Comptroller of Customs 462-0829
Comptroller’s Secretary 562-7617
Deputy Comptroller – Mr. Austin Greenaway 462-2400
Deputy Comptroller – Mrs. Yvette Jacobs 562-7772
Deputy Comptroller – Mrs. Dawn Azille 462-1241
Accounts Section 562-1576
Information Technology Department 462-9624 / 25
Email Address: customs@ab.gov.ag, antiguacustoms@gmail.com

https://customs.gov.ag/contact-us/

Antigua and Barbuda
Customs and Excise Division
Ministry of Finance and Corporate Governance


Seaports
In Antigua there are four legal seaports of entry:

Deep Water Harbour
Heritage Quay
Jolly Harbour
English Harbour

[Montanan]

Types of indirect taxes (VAT/GST and other indirect taxes).

Antigua sales tax (ABST) is a value added type of tax introduced in Antigua in 2007. ABST is levied on local consumption and paid by the consumer. The Commissioner of Inland Revenue, supported by the Inland Revenue Department, administers the tax. The Customs and Excise Department collects ABST payable on imports on behalf of the Commissioner.

Are there other indirect taxes?

All imports are subject to customs duties, ABST, Revenue Recovery Charge (RRC) and an environmental levy. In some instances, certain exemptions will apply. RCC is applied at a flat rate of 10 percent on the CIF value on all goods imported into, or produced in, Antigua and Barbuda (exemptions also apply). Stamp tax also exists.

What supplies are subject to VAT?

Taxable supplies are subject to ABST; supply of goods or services made in Antigua and Barbuda by a taxable person in the course or furtherance of a taxable activity, but does not include an exempt supply.

A supply of goods means:

a sale, exchange, or other transfer of the right to dispose of goods of an owner
a lease, hire, or other right granted in relation to goods, including a supply of goods under a finance lease
anything deemed to be a supply of goods by the Act or regulations.
Anything that is not a supply of goods or money is a supply of services.

What are the standard or other rates (i.e. reduced rate) for VAT/GST and other indirect taxes?

VAT (standard) 15 percent; VAT (reduced) 0 percent; 12.5 percent for hotel accommodation. Certain supplies are exempt.

[KAT1]

Oh boy that isn't good.

[KAT1]

Sounds like I better call them sooner rather than later.

[KAT1]

Originally Posted by boatman61

Why not SMX.. International Airport, EU procedures makes life so simple...
Private sale.. just do the deal over a few beers at the Soggy Dollar..

What is the benefit of doing it in St. Martin? The seller will be going to St. Martin first so it is possible. The boat has a Dutch ICP but is not in the formal registry and is not VAT paid.

[Montanan]

Antigua Customs Duty Act

https://customs.gov.ag/resources/pdf..._3_of_2013.pdf


Be sure that the importer of record [owner / seller] has had the vessel properly declared as a permanent import with the Customs agency and has paid the duty and fees, obtain proof of such before you purchase it. Failure to follow proper procedure can have harsh consequences. The additional indirect taxes will be due upon your purchase, Antigua Barbuda Sales Tax [ABST] and likely the environmental levy. There also is a Customs Service Tax that ranges from 5 to 10% of the goods CIF value.


Snipets:

“uncustomed goods” includes goods liable to duty on which full duties due have not been paid or secured, and any goods, whether liable to duty or not, that are imported or exported or in any way dealt with contrary to any customs enactment.

“vehicle” means any method of carriage or conveyance for use on land, whether it is also capable of being used on or over water, and includes any cart and wagon and any trailer attached to any such carriage or conveyance.

“vessel” includes any ship, hovercraft or boat


176. Vessels and vehicles

Every person who:

(1) without lawful authority acquires possession or control of an uncustomed vehicle or vessel;
(2) forges, alters or tampers with a vehicle identification number, licence plate or other identification mark of a vehicle or hull mark or other marks of a vessel with intent to conceal its true identity; or
(3) knowingly or recklessly acquires possession of such a vessel or vehicle, commits an offense and is liable on conviction to a fine of $50,000 or three times the value of the goods, whichever is greater, and, on conviction, to imprisonment for 5 years and the vehicle or vessel shall be forfeited.

In reviewing an online schedule of customs duties for Antigua, the duty rate ranges from 0 to 70% and are based on Cost, Insurance and Freight [the cost incurred to transport it to Antigua] valuation upon arrival in country. It appears that the duty will be 20%.

The ABST is in addition to the customs import duty.

So all in the duties, taxes and fees are likely to be
Import duty 20% of CIF Paid by the seller to have the right and privilege to sell the vessel in country.

Customs Service Tax 5 to 10% CIF Paid by the seller to import the good upon clearing customs.

ABST 15% Charged to the buyer, be sure this is paid through to the Antigua taxing authority, i.e., walk in to the office with the seller and submit the payment as a private sale transaction and obtain receipt thereof.

Also, all imports are subject to customs duties,
ABST, Revenue Recovery Charge (RRC) and an
environmental levy. In some instances, certain
exemptions will apply. RCC is applied at a flat rate
of 10% on the CIF value on all goods imported
into, or produced in, Antigua and Barbuda
(exemptions also apply). Paid by the importer which will be the seller of the vessel.

Not sure what the environmental fee will be, if any.

[Montanan]

Originally Posted by KAT1

What is the benefit of doing it in St. Martin? The seller will be going to St. Martin first so it is possible. The boat has a Dutch ICP but is not in the formal registry and is not VAT paid.

FYI.

A Dutch ICP is NOT proof of ownership, nor does it convey titling, and does NOT convey nationality [i.e. flagging] to the vessel. A vessel with only a Dutch ICP should not wear [a.k.a. display] a Dutch flag. It is considered a vessel without nationality, that is to say stateless.

Be sure to obtain proper proof of ownership and of clean and clear title, free of encumbrances and liens.

By way of example, starting with the Combined Builder's Certification and Manufacturer's Certificate of Origin, Bills of Sales from each prior owner. Copies of any and all registries that the vessel may have had previously.

[boatpoker]

Do whats done in Canada and the US frequently. Sail out of Antiguan waters (12 miles) with owner. complete the deal, sail back in. Done!