buying a boat in antigua - tax question

[tcm]

if you buy a secondhand boat from a private individual in antigua ....are there any tax implications?

Obviously the seller arrives and leaves by airplane. The buyer arrives and at some point leaves by boat, now under different owner. So do the customs people say aha...tax is due?

I am aware there is new sales tax in antigua, like VAT, since end jan 2007 but i don't *think* that is relevant.

Of more relevance is that some say that*some* islands want the same crew clearing out as cleared in. But that shrly can't apply to antigua with race boat turning up etc?

 

[HenryB]

You could try asking Nicholsons Yacht Sales in Antigua, their web site, with contact details is
https://www.yachtworld.com/nicholsoncaribbean/

 

[tcm]

ah yes, all a bit antiguan, they're out.

 

[machurley22]

This can be a bit of a minefield. The best advice I can give is that you should marry the seller. There is no requirement IIRC for the marriage to be consumated (though this point may merit further research) and provided the appropriate pre-nuptial agreements are in place the subsequent divorce will be mutually advantageous WRT taxation.

 

[tcm]

thanks for this, very useful. However, the owner is not my type - male and married.

 

[Talbot]

Is the boat VAT paid under the existing owner. If so, I strongly recommend moving the boat to martinique, or one of the other french islands that have EU status, and finalising the sale there. That way you avoid the cost of VAT, and maintain the VAT status.

 

[tcm]

nope, not vat paid, but point taken. I think i am hunting for whether there a local immediately-payable taxes in antigua.

 

[Bajansailor]

How about seeing if you can arrange the sale officially in Guadeloupe?
The French authorities are always less pedantic than those in the English speaking islands (we have the British colonial rulers to thank for this...) and I cannot see that they would notice or be worried about a different Owner checking out, compared to the Owner who checked in.

And if Guadeloupe is officially a fully paid up part of the EU (there was a discussion about that on here recently - are they?) then the boat will be sold in the EU, so you wont have to worry about VAT if you take her back to England.
Whereas if you officially buy her in Antigua, you will have to worry.

Re the crew who checked in with the boat - just ensure that they are signed off the boat before they leave, otherwise you will have endless hassles with the Immigration authorities - they will not let you leave until you can account for any crew who are not on board and who have not been signed off.
Crew can only be signed off if they are either signed on to another boat, or can show a valid plane ticket out to somewhere else (some places demand this ticket has to be a country where the holder has residency).

Edit - Talbot beat me to it! /forums/images/graemlins/smile.gif
And it looks like you will still have to pay VAT if you officially bring her into the EU - but maybe you do not have to?

 

[tcm]

jeez, but thanks. Photocopy of ex-crews plane tickets, check...

Boat is not vat paid so eu or otherwise irrelevant. I am wondering if local taxes wd raise a liability tho?

alright then, how about this - we just go fora sail and bog off. Not seen many people doing al this clearing inand out - does it really matter?

 

[Bajansailor]

I dunno if immigration will accept photocopies of plane tickets - have dealt with the guys in English harbour and they can be pedantic when they want to - usually the crew has to be there in person to be signed off - either clutching a ticket, or with a skipper of another boat all ready to sign said crew on board.

Hopefully you will be going off on sailabout, and not having to import the boat properly into the EU, and then you dont have to worry about Vat.

If you just go for a sail and bog off, some immigration authorities in the next port will ask you to go back and clear out properly, if you havent got any clearance documents..... although if you do this, head for a French port, not an English one - the French are not too bothered (from what I have been told - I have not tried this).

 

[webcraft]

Do I detect the imminent onset of yet another incredibly insanely unbelieveably long post culminating in the demolition of yet another hire car?

-N

 

[tcm]

harumph. When are you due at the Azores?

 

[webcraft]

Re: Azores

Hoping to be there end May / beginning of June

- W

 

[Rum_Pirate]

I would suggest you find out where the boat is registered. If a US made boat yand you are taking it to Europe then you have to contend with the EU compliance legislation etc etc.

If it is only 'visiting' Antigua and not to be "imported" into Antigua then it would not attract any local taxes.

If it has already been "imported" (and import tax etc has been paid) into Antigua, then I am not aware of any taxes that you would have to pay for it to remain there.

Always get local legal advice.

Mind you all of the above is just my thoughts on it. /forums/images/graemlins/cool.gif