Buying a boat in Spain?

[GTom]

I am considering buying a Spanish registered, privately owned boat and collecting information not to fall in any financial or licensing pitfalls. From myself: I live in switzerland and have an RYA Coastal skipper+VHF/SRC certification.

Question#1: can the boat title be reliably checked in Spain, that my finances won't sunk on a hidden mortgage/liens/etc?

Question#2: I suppose I have to register it somewhere else, because RYA qualifications (without ICC, which as non-British I am not eligible) are not sufficient to sail a Spanish flagged boat. Any suggestions, where to register? Is it possible to keep the EU VAT paid status, in case I register outside the EU - thus stay indefinitely in EU waters with an offshore flag?

 

[Tranona]

The answer to the first question is yes. There is compulsory registration in Spain so if the papers are in order you will get clear title. It is normal for the vendor or broker to do the transfer and deregister. You will not be able to keep it on the Spanish register and use it without having the appropriate Spanish licence.

Registration generally has no impact on VAT. Provided you keep it in the EU or if you take it out you keep within the "returned goods" rules (see HMRC VAT Notice No8) it will retain its VAT paid status even if you are not resident in the EU.

You do not say what your nationality is, but if you are a British citizen then you can register on the Part1 register. Relatively expensive initially as you will need a tonnage survey, but it does register your title to the boat and maintenance of the registration is simple and cheap.

Be aware that the above is only relevant in the circumstances you describe and this whole area can be complex so it is important to establish the facts about any individual boat and the status of the seller and buyer.

 

[GTom]

Thank you, the title-question was the most pressing. I was thinking on a non-EU flag, like Jersey. A bit pricier but might pay back if I can buy stuff (e.g. new set of sails, engine...) VAT-free.

The qualification is another big question, being Swiss, with RYA certifications I am stranded without ICC. ("should go to my national authority" is the answer from both RYA and IYT, which means go to courses from level 0.) Spanish law (Real Decreto 875/2014, p.20) apparently mandates licenses from the skippers citizenship or residence for Spanish flagged vessels. The parts dealing with other flags are unclear to me in google translate.

 

[macd]

I was thinking on a non-EU flag, like Jersey. A bit pricier but might pay back if I can buy stuff (e.g. new set of sails, engine...) VAT-free.

You might get away with that if you're actually in Jersey (even if you don't own a boat), but not otherwise. Sticking up a flag does not make the vessel it's attached to part of the flag state's territory.

Over the years Belgium has been a popular EU flag of convenience, and The Netherlands to a lesser extent. You might check them out.

 

[Tranona]

Thank you, the title-question was the most pressing. I was thinking on a non-EU flag, like Jersey. A bit pricier but might pay back if I can buy stuff (e.g. new set of sails, engine...) VAT-free.

The qualification is another big question, being Swiss, with RYA certifications I am stranded without ICC. ("should go to my national authority" is the answer from both RYA and IYT, which means go to courses from level 0.) Spanish law (Real Decreto 875/2014, p.20) apparently mandates licenses from the skippers citizenship or residence for Spanish flagged vessels. The parts dealing with other flags are unclear to me in google translate.

There is no legal requirement to have any qualifications to use a non Spanish boat in Spanish waters, nor indeed in most of the EU, although an ICC can be useful in some circumstances. However if you have an RYA Day Skipper or above this is generally accepted as an alternative.

Registering in Jersey is not always a good idea as it is not an EU territory so the boat may be seen as non EU and you may find you attract more attention, although provided you have your evidence that it is EU VAT paid Which the Spanish deregistration will give, it is not a real problem.

As macd says just having a boat registered in Jersey does not entitle you to buy anything VAT free if it is then imported into the EU. Anybody can buy VAT free in Jersey (paying the local sales tax) but it is liable to VAT on entry into the EU.

 

[GTom]

There is no legal requirement to have any qualifications to use a non Spanish boat in Spanish waters, nor indeed in most of the EU, although an ICC can be useful in some circumstances. However if you have an RYA Day Skipper or above this is generally accepted as an alternative.

It seems a bit more complicated: https://translate.google.co.uk/tran.../de_costa_a_costa/1415727923.html&prev=search Apparently Belgian reg is the most commonly used in Spain to avoid taxes/regulations, something else might be a good idea. For me a Red Ensign group reg sounds the most trivial, that case at least my certifications match the flag. IOM is another opportunity, but the yearly 122£ is quite costly.

As macd says just having a boat registered in Jersey does not entitle you to buy anything VAT free if it is then imported into the EU. Anybody can buy VAT free in Jersey (paying the local sales tax) but it is liable to VAT on entry into the EU.

Correct, maybe under the temporary import clause VAT-free purchase would be possible, but as the boat would enjoy its VAT paid status, staying long in EU waters, anything bought for it wouldn't leave the EU either.

 

[macd]

IOM is another opportunity, but the yearly 122£ is quite costly.

IoM has the advantage (insofar as it is one) of being in the EU VAT area, although that probably won't survive Brexit. I think that as well as the hefty price, a measurement survey, similar to UK Part 1, is required for the 'proper' IoM ships' register. There's also a cheap equivalent to SSR, but available only to Manx residents. Boats on the latter get to wear UK-type car numberplates (seriously), as well as a defaced red ensign.