Dual Passport, VAT, etc

[TomIre]

My wife and I are dual Irish and US citizens. We are also full time live aboards on our Nordhavn 47.
We're currently cruising in the US where we bought the bought. We'd really like to get ourselves to Europe but not if we have to pay 23 percent Irish VAT.
I'm thinking that a ToR (Transfer of Residence might be a way to go. We've done that before 20 years ago when we moved to Ireland but not on a boat.
The potential issue is our liveaboard status. You have to demonstrate intent to Customs that you are moving permanently Does anyone have experience with this? We could possibly rent a flat and show that as our address but I hate to be too dodgy when it comes to these things. We could also sign a marina slip lease but then I'm guessing most Irish (or other EU) marinas aren't keen on liveaboards.
Lastly, I feel like I need to seek some professional advice on this. Just not sure if it's a solicitor, an accountant or who.
Any advice appreciated!

 

[st599]

The VAT isn't the only issue, compliance with RCD at the point of import is also a factor.

 

[Boathook]

Don't forget that Europe is 240V so you will need to either alter mains appliance's or install suitable transformers for the total load.

 

[TomIre]

Yes, got that covered. It's the legal bits that have me stumped.

 

[TomIre]

RCD looks like the biggest hurdle. My pre 2006 diesel likely isn't compliant.

 

[Tranona]

I don't think that the RCD is required for boats entering under transfer of residence but you will need to check with Irish customs as they are in the EU nit the UK, although suspect the rules are the same. Do you intend moving permanently and taking up residence in the EU? or are you remaining US resident? The alternative may be to enter as visitors and as you are EU citizens there are no restrictions. The boat can enter under Temporary Admission for 18 months renewable by a quick trip across to the UK and return. You will then have freedom to roam around Europe and UK.

 

[TomIre]

Lots to sort out. We are resident on our boat. No land residence.
Possibly the way forward is a TA. Do you know if an EU citizen can get a TA? If so, that might work. Just need to leave briefly every 18 months.

 

[Mistroma]

Lots to sort out. We are resident on our boat. No land residence.
Possibly the way forward is a TA. Do you know if an EU citizen can get a TA? If so, that might work. Just need to leave briefly every 18 months.

Someone else may give a definitive answer. I believe TA depends on residency rather than citizenship. The latter impacts things like if you can stay and how long. TA affects the vessel e.g. tax liability. You'd be OK with a home in US and saying you are on a long, temporary, stay in EU. Living on the boat with no other permanent home outside the EU would probably impact TA and tax would be due.

You could initially argue you weren't resident in the EU on arrival. Likely to be a problem eventually if you remain for a long time in one place.

 

[TomIre]

Thanks Mistroma, a very sensible answer. I think you're correct that TA depends on residency and not citizenship.
I suppose it rests on how things are presented. Probably best to but claim to be a liveaboard. We do have a mailing address in America and can show bank statements, tax returns, etc as "proof" that we reside in America.
I do need to find someone to get professional advice on all this. No idea if it is a maritime solicitor but that's probably the place to start.

 

[Irish Rover]

I do need to find someone to get professional advice on all this. No idea if it is a maritime solicitor but that's probably the place to start.

I definitely agree you need professional tax advice. If you apply for TA you'll be OK in Ireland for the first 183 days but if you stay longer you become tax resident. Even moving around the EU with spells in the UK will probably catch up on you, especially as you don't have a permanent residence in the US.

 

[Baggywrinkle]

My wife and I are dual Irish and US citizens. We are also full time live aboards on our Nordhavn 47.
We're currently cruising in the US where we bought the bought. We'd really like to get ourselves to Europe but not if we have to pay 23 percent Irish VAT.
I'm thinking that a ToR (Transfer of Residence might be a way to go. We've done that before 20 years ago when we moved to Ireland but not on a boat.
The potential issue is our liveaboard status. You have to demonstrate intent to Customs that you are moving permanently Does anyone have experience with this? We could possibly rent a flat and show that as our address but I hate to be too dodgy when it comes to these things. We could also sign a marina slip lease but then I'm guessing most Irish (or other EU) marinas aren't keen on liveaboards.
Lastly, I feel like I need to seek some professional advice on this. Just not sure if it's a solicitor, an accountant or who.
Any advice appreciated!

Try re-formulating your text into a set of precise questions and then use Google Gemini AI on the Google search page ....

I did this and got the following reply ....

A Transfer of Residence (TOR) is a legitimate path to avoid the 23% VAT, provided you meet strict criteria regarding your residency history and the boat's ownership. However, using a boat as a primary residence while claiming TOR involves navigating specific documentation requirements from Irish Revenue.

1. Requirements for Transfer of Residence (TOR)
To qualify for relief from Customs Duty and VAT when importing your boat from the US to Ireland, you must:

• Residency: Have lived outside the EU for at least 12 continuous months prior to the move.
• Ownership: Have owned and used the boat for at least 6 months before arriving in Ireland.
• Intent: Be transferring your "normal residence" to Ireland permanently.
• Disposal Restriction: You cannot sell, hire out, or lend the boat for 12 months after importation without paying the waived taxes.

2. Demonstrating Permanent Intent
Customs requires evidence of "normal residence," defined as the place where you live for at least 185 days per year due to personal and occupational ties.

• Evidence Needed: Revenue typically asks for proof of disposing of your home abroad (e.g., sale of a US property or ending a lease) and acquiring a home in Ireland (e.g., a rental agreement or purchase contract).
• Using a Boat as Address: While a boat can be a residence, a marina berth lease may be scrutinized. You must provide "day-to-day living" evidence like Irish bank statements, utility bills, and proof of your arrival (flight/ferry tickets).
• Warning: Renting a flat solely for "paperwork" without living there may be considered tax evasion if discovered.

3. Liveaboard Realities in Irish Marinas

• Legality: Most public harbours managed by Waterways Ireland prohibit long-term liveaboard status, often limiting stays to 5 days.
• Private Marinas: Many private marinas in Ireland allow liveaboards but may not offer "residential" status for official purposes (like receiving a PPS number or proving residency to Revenue). You should contact specific marinas (e.g.,
  Dun Laoghaire
  ,
  Malahide
  , or
  Kinsale
  ) directly to confirm if their berth agreements meet Revenue's documentation standards.

4. Seeking Professional Advice
You should consult a Tax Consultant or a Customs Agent who specializes in "Transfer of Residence" for high-value assets.

• Why not a solicitor? Solicitors handle legal property transfers, but a specialist tax accountant or customs broker has the direct experience filing Form C&E 1076 with Revenue for vehicle/vessel imports.
• Alternative: Some Irish boat owners use Temporary Admission, allowing a non-EU vessel to stay for 18 months without paying VAT, provided the owner is not an EU resident. However, as dual citizens intending to live there, you would likely be deemed residents, making TOR the only permanent tax-free option.

Would you like me to look up specific private marinas in Ireland that are known to accommodate full-time liveaboards?

As always research the links referenced in the response, and the AI is not great at inferring accompanying issues (like RCD as it has made no mention if you need to comply or not) . Read Googles disclaimer here ...

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