buying a boat in Gurnsey - VAT implications

[alant]

Anyone know how/when any VAT must be paid (or any way of not paying - legally) if purchasing a boat in Gurnsey, which has had no VAT paid, then bringing back to UK. Does age/value etc of boat matter?

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[DepSol]

I am based in Guernsey and may be able to offer you some advice on this. Rather than to-ing and fro-ing with pms please call me on 07781105953.

Regards

Dom

<hr width=100% size=1>Dom

2003 is going to be a good year for me

 

[qsiv]

You'll be asked to pay VAT on the assessed market value of the boat on return to the UK. Not avoidable unless you keep the boat in Guernsey, or use corporate ownership (but that would probably be contsrued as evasion if the boat is for your sole use, and to be kept in UK or EU waters).

The boat can however be kept on the Guernsey register (assuming you're part 1) - at least the ensign will puzzle some folks in the UK.

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[smee]

I bought a boat in Guernsey in 1998 and had to pay the VAT on its introduction to the mainland (Poole). The VAT was payable at 17.5% on the Bill of Sale price. However sometimes it is done on the customs valuation which of course could be+/-!!

There does seem to be a company advertising in YM or YW that says sail VAT free, so there are ways of getting round it.

Also depending on the year of the boat there may be a RCD implication in bringing a boat back to mainland, as as far as I know Guernsey is regarded as being outside the European Economic area! I beleive the date of interest was 16th June 1998, and any boat in the EEA was exempt if it was in on that date! Anything after that and it may need to be RCD coded/surveyed? THe RYA would know more on that I would imagine.


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[qsiv]

Correct that the CI or outside the EU - but a marina invoice for France is 'probably' enough to prove that the boat was in service inside the EU - it certainly was back in the days of the VAT window of a few years ago.

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