Canary Islands and Jersey registered boat

[Twin]

Hi all,

About to buy Jersey Part 1 registered boat and would like to keep her in Canary Islands for 3-5 years.

Found info on noonsite "If VAT has been paid (or in the case of older EU boats, deemed to have been paid), then there is no restriction on how long the boat can remain in the EU whatever its flag State. Its Port of Registry is entirely irrelevant."

Canary Islands are outside the EC fiscal (VAT) area, so boat's VAT status is irrelevant. Does this mean I can keep her on Jersey Part 1 register and in Canary Islands without any problems?

 

[Twin]

Anyone?

 

[Tranona]

You have answered your own question. Registration is irrelevant from a VAT point of view. a boat can be Jersey registered and EU VAT paid and kept in the Canaries, or not VAT paid and still kept there. The thing you have to watch is if it is VAT paid the boat potentially loses its VAT paid status once you export it by taking it to the Canaries. If you want to keep its status you have to use the returned goods relief rule which normally has a 3 year limit. However if you sell the boat outside the EU then it cannot be brought back without be liable for VAT again.

Hope this helps.

 

[Twin]

Tranona, thank you. In Canaries they have IGIC, VAT equivalent. So if Jersey or any other non EU Port of Registry boat is berthed in Canaries longer than 18 months... Don't I have to import her and then pay IGIC?

 

[capnsensible]

Spanish equivalent to VAT is called IVA. The other tax you mention is an extra imposed by the Canary Islands authorities. We have imported both our yachts as we are resident and had to pay both taxes. However, the valuations on the taxable amount were ....kind!

 

[Twin]

capnsensible, thank you. Still confused about all this. If I will not become a resident in Canaries, can I keep Jersey Part 1 registered boat without any time limitations and tax liabilities? Just out of curiosity what does "kind" means? Please PM me if such info is not for a public "use".

 

[capnsensible]

capnsensible, thank you. Still confused about all this. If I will not become a resident in Canaries, can I keep Jersey Part 1 registered boat without any time limitations and tax liabilities? Just out of curiosity what does "kind" means? Please PM me if such info is not for a public "use".

We imported our boats because we now live here. The customs people in Gan Canaria gave a rather low valuation of them so we were happy! We were liable for two fees, import duty at 13.5% and IGIC at 11.5%.

If however you spend less than 183 days anyway, personally, you are not liable. It is, however, rarely enforced. Some years ago we spent two years living aboard in a Canarian Marina and were never troubled.

Hope you enjoy it here!

 

[GTom]

We imported our boats because we now live here. The customs people in Gan Canaria gave a rather low valuation of them so we were happy! We were liable for two fees, import duty at 13.5% and IGIC at 11.5%.

If however you spend less than 183 days anyway, personally, you are not liable. It is, however, rarely enforced. Some years ago we spent two years living aboard in a Canarian Marina and were never troubled.

Hope you enjoy it here!

Very useful information, thanks! I thought the boat should spend less than a certain amount of time in the Canaries and the owner should sail it to another VAT jurisdiction (back to EU for instance)