Buying in Sweden and VAT

[Spud 7]

I'm having trouble finding the boat I want here in the UK, though there's plenty for sale in Sweden and Denmark.
Can anyone tell me, if I bought a boat in Sweden at a cost of say, £13,000 that was built in the 70's , would I be liable to VAT on bringing it back to the UK, and if so, on how much?

Thanks

 

[Tranona]

As Sweden is in the EU, it is just the same as buying in the UK. No VAT is payable if you buy from a private EU resident. You can freely import the boat into the UK without notifying anybody - that is part of what the EU is about!

As in the UK there is no compulsory registration of boats in Sweden so you need to be sure that you get clear title to the boat. You will find a lot of information on buying a second hand boat from the RYA, although don't know how much covers any Sweden unique issues (if there are any).

 

[macd]

As Sweden is in the EU, it is just the same as buying in the UK. No VAT is payable if you buy from a private EU resident. You can freely import the boat into the UK without notifying anybody - that is part of what the EU is about!

Tranona's spot-on re the VAT question so far as it applies to boats dating from the VAT era. A 70's boat would presumably be "deemed VAT paid" as the Excise has it. As with a pre-1985 UK boat meeting the same criteria, it's likely that you would need proof of age (usually easy) and evidence that the boat was located in the EU on a qualifying date (31.12.92 in the UK, but possibly different in Sweden). If so, the current owner of the vessel would need precisely the same evidence, so it's more than likely they'll have it.

A boat meeting the above conditions would also be exempt from RCD compliance.

As Tranona states, if it's legit in Sweden it's legit anywhere else in the EU. That's the whole point (or supposed to be).

 

[Spud 7]

Thanks Guys,

I thought that was (supposed) to be the case but thought I'd put it to the assembled brains on here...

Thanks again

 

[Skylark]

Spud 7.

Great idea and you're on to a winner. I bought a vessel as you describe from near Stockholm about 10 years ago. Press-ganged 3 pals to help me get her home via the Kiel Canal. Had a fabulous time (albeit it we hit some not-forecast rough weather across the north sea).

No issue at all with any paper work. I put her on SSR without issue. Kept her for 4 years and made almost 50% profit when I traded up.

Design and build quality are both first rate. Switch panel took some getting used to but I got there in the end!

Good luck

David

 

[dt4134]

As in the UK there is no compulsory registration of boats in Sweden so you need to be sure that you get clear title to the boat.

I don't know enough to argue my case strongly, but when sailing in Sweden I had formed the impression that all boats were registered. They each have a three-letter code followed by numbers.

Maybe it isn't compulsory, but it does seem pretty common.

 

[Ridax]

I don't know enough to argue my case strongly, but when sailing in Sweden I had formed the impression that all boats were registered. They each have a three-letter code followed by numbers.

Between 1987 and 1993 you had to be registered if your boat size or engine was above a certain size/power. The registration number was three letters and 2 digits. This compulsory registration was ended at 1993 but a lot of boat owners didn't remove the registration numbers for different reasons (one of them being that the compulsory register was replaced with a voluntary register to help with insurance and sea rescue operations, but I think this register died 2003).

This registration had nothing to do with taxing, although owners were worried that it would end up with that result anyhow.

What kind of boat and through what market channels are you looking to buy? If you are looking for a popular motor boat at "Blocket" (the largest advertising site for private sales) and the price seems to be much lower than the normal going price, you should note that there are some frauds going on there (trying to catch deposits).

 

[DavyMac]

We came very close to buying a Swedish boat in 2006 and had to investigate the VAT position. You can freely move the boat around the EU if it is VAT paid, or exempt as it was in the EU at the relevant date (i.e. when Sweden joined the EU - IIRC around 1997). It is best to have evidence of that and we got a letter from the Forgus owners club in Sweden referring to the boat we were looking at. We sent a copy to the VAT office in Glasgow and they confirmed that it was sufficient and no VAT would be due.

We never went ahead with the boat, but would not have been comfortable without good evidence/confirmation that no VAT was due.

We spoke with the VAT office by phone first and they were reasonably helpful.

 

[Spud 7]

Ridax,
I'm looking at buying a small (29 foot) yacht, more than likely through a private sale. Some great advice on here and all appreciated...

I've posted it elswhere, but would love to find a nice (preferably Swedish built) Shipman 28.

I may be totally wrong but I like the slight differences in the Swedish ones as opposed to the Irish built ones and have a feeling that they may possibly be better "screwed together"

Think I may be opening a can of worms there, but perfectly willing to listen to opinions of others...