Buying a vat paid boat registered in Guernsey to UK

[pandos]

Maybe it's not relevant, ....if the current owner is a CI resident, can they still avail of returned goods relief if they bring the boat back to the UK, without becoming a UK resident..?

 

[Tranona]

Yes. The key thing for RGR is that the person claiming relief is the same as took the boat out of UK. Residence citizenship and registration are all irrelevant in this sort of transaction..

 

[Blue Fin 2]

Maybe somebody is working on the " nobody knows the boat is out of the UK " be careful...

One of the points we are trying to confirm, yes, it could in my opinion catch people out quite easily!

 

[Irish Rover]

Where is the boat at the moment - is it in the UK?

 

[Blue Fin 2]

I know I'm old and doddery...but I can't see where it says that...why is he going to view it in the CI then?

Hi, He is buying the boat in the south of England but travelling from the North of Scotland. The boat is currently in the UK but not sure on the "import status" as the broker apparently doesn't know as not dealt with a situation like this before, just doesn't sound 100% unfortunately.

 

[Blue Fin 2]

Where is the boat at the moment - is it in the UK?

Boat is on the hard in Devon. My friend is based in the North of Scotland hence the travel down bit mentioned, sorry it wasn't clear but proving difficult to find the record of import through the seller which is suggesting unless we get the evidence it's going to be a no deal for us as too much liabilities over import duty and potentially it could become VAT liable again.

 

[Blue Fin 2]

It says "for sale in the UK" which is not the same as the saying the physical location of the boat is in the UK

There are plenty of boats "for sale in the UK" via broker and the location of the boat is Mallorca or some such

For sale in the UK, boat is currently in Devon on the hard. so far, no evidence has been shown to prove it has been re imported by the seller which could also mean it would become liable for VAT for the new buyer?

 

[Irish Rover]

Good to get that cleared up. If it was me I'd view the boat and if I liked it I'd make an offer subject to sea trial, survey and proof that VAT is paid and leave it up to the seller/Broker to furnish me with the proof.

 

[Blue Fin 2]

If the boat is not in Guernsey the OP had plenty of time to say so, particularly after post 2 which he warmly welcomed:

Post 2, we recall, alluded to the boat being out of the UK, several times, including:

"....so you will need to import the boat and pay VAT on entry." ".......This has always been the case for boats coming from the CIs"

OP responded:

"Hi Tranona,
Thankyou very much for getting back on this and it is along the lines of what we suspected"

Maybe the title was meant to have been:

BRINGING a vat paid boat registered in Guernsey to UK​

Instead of as written:

Buying a vat paid boat registered in Guernsey to UK​

.

Apologies again, looks like I've been getting a hard time on here but i was unable to view the majority of these replies until now! Boat is in Devon for sale, UK seller, registered in Guernsey. My friend the new buyer potentially is based in the North of Scotland hence mentioning the travel down to see it. It does have paperwork to show as UK vat has been paid however still investigating on whether that is genuinely retained along with whether import duty is liable.

 

[Irish Rover]

Do you know for sure if the boat was ever kept outside the UK?

 

[Tranona]

For sale in the UK, boat is currently in Devon on the hard. so far, no evidence has been shown to prove it has been re imported by the seller which could also mean it would become liable for VAT for the new buyer?

No. The boat is here either UK VAT paid status under RGR or Returning Resident Relief in which case you want evidence that it qualified and he has declared it properly on entry or as a non UK boat under TA in which case he is responsible for paying VAT and if necessary having the boat certified. The broker should know how to deal with this.

 

[billskip]

No. The boat is here either UK VAT paid status under RGR or Returning Resident Relief in which case you want evidence that it qualified and he has declared it properly on entry or as a non UK boat under TA in which case he is responsible for paying VAT and if necessary having the boat certified. The broker should know how to deal with this.

What if he legitimately bought the boat in the UK and paid vat, the boat never left the UK? How does RGR come into that?
I agree the buyer needs to get documentation confirmation of a full legal status.

 

[Irish Rover]

What if he legitimately bought the boat in the UK and paid vat, the boat never left the UK? How does RGR come into that?
I agree the buyer needs to get documentation confirmation of a full legal status.

That's why I asked the question at #50. As has been well proven already on this thread posters read what they think should have been written rather than what is in black and white before them.

 

[billskip]

posters read what they think was written rather than what is in black and white before them.

Guilty , but I can think of many excuses....

 

[Tranona]

Again read post#1. It is not unreasonable to assume it has been outside the UK based on what the OP writes "could have potentially been UK VAT paid" plus the broker is unable or unwilling to answer the question. I have simply covered the possible ways it could be in the UK. If the boat has never been outside the UK then the questions would not have arisen.

 

[Irish Rover]

Guilty , but I can think of many excuses....

It wasn't you I had in mind, sorry

 

[superheat6k]

If the boat is in the UK as an illegal import the later consequences should this be discovered by HMRC could be very severe - not sure I could face my pride and joy being confiscated ! That the boat is Guernsey registered makes this a more likely target for HMRC to demand proof VAT was paid or that the importer had RGR. I would put it firmly on the vendor and his broker that absolute proof of its VAT paid status must be provided, after all the onus here to pay import VAT is solely with the person who imported it (there is no duty for goods from the CI) - OR WALK AWAY and find another boat to buy. Certainly worth a call to HMRC small craft unit for their advice, but this may prompt them to look more closely at the boat's background.

 

[superheat6k]

There used to be a 3 year time limit but no more. It is a requirement of EU membership and not something the UK government decided to do. The time limit has been waived for personal goods including pleasure craft. It will eventually get de-legislated as the UK government (and everyone else) consider it unfair.

Pay less import duty and VAT when re-importing goods to the UK

Thanks for clarifying. My transaction was in 2015, when the RGR situation was not so cut and dry.

 

[Refueler]

Its all well and good saying Flag is not connected to X and Y .... but its often a 'trigger' for dear old Customs etc to have a nosey ...

As per post #57 ... I have been thinking same since basically throughout the whole run of this thread - but refrained from posting - preferring not to have the usual replies. As another has braved posting it - I agree with "superheat6K"

Unless sufficient paperwork and proof of status - I'd walkaway or if I really do want the boat - price at suitable that VAT if to be paid is covered.

 

[billskip]

unless we get the evidence it's going to be a no deal for us as too much liabilities over import duty and potentially it could become VAT liable again

Unless sufficient paperwork and proof of status - I'd walkaway or if I really do want the boat - price at suitable that VAT if to be paid is covered.

I think the OP, as you can see above, is clear on the liability problem.

What I don't quite understand is, (this maybe me wrong) the urgency, boats can take time to sell unless this is an exceptional bargain, which would obviously give the agent/ broker reson to be unresponsive to what he might deem to be tyre kickers.
Unfortunately with all purchases there are expenses involved and I can understand the OP wanting ducks in line with minimum expense, whereas the agent doesn't want to waste time so waits till the op has viewed before engaging with the legal stuff...