EU flagged yachts in the UK and Brexit

[Fascadale]

Could anyone point me in the direction of what rules/regulations will be applied to EU flagged yachts in the UK as Brexit fully kicks in?

Maximum stay 180 days? Does anyone actually police this sort of thing in the UK? Are there any penalties for overstaying?

Thanks

 

[ithet]

No, no one can point you that direction as the EU and UK are still negotiating terms. I expect you will get a lot of conjecture though.

 

[Irish Rover]

If the yacht is EU VAT PAID and is in the UK on 31 Dec 20 then it will be deemed to be UK VAT PAID and can stay indefinitely as if it were UK flagged.

 

[Ningaloo]

No, no one can point you that direction as the EU and UK are still negotiating terms. I expect you will get a lot of conjecture though.

Whilst we can always hope for a deal it doesn't look likely at this point in time. So we can state with absolute certainty what will happen UNLESS this "deal" that has been worked on for four years suddenly materialises.
We know what the current laws and legislation are and for those of us planning next year in the EU (or for the OP, an EU boat planning to be in UK), we have to plan assuming these will apply
My plans have involved selling the boat I have kept in EU27 since 2004 and buying something larger so I can leave both the UK and EU. The VAT and 90/180 rules are not compatible with the lifestyle I have adopted for the last 17 years.

 

[Sandy]

I'd contact the UK tax office. They will have the ultimate decision on the matter. Unless a court changes it.

 

[Mistroma]

Don't confuse limits on boats remaining in UK and people remaining in UK.

No idea what will happen as it hasn't been decided yet.

I think that EU's position regarding people has not changed regarding short visits:
"UK travellers will still be allowed to visit for short trips (90 days in 180 days). However, this is on the condition that the same rights are granted to EU citizens reciprocally."

I seem to remember reading that UK already offer 180 day stays without a visa. I think this already covers Americans and some others and would seem reasonable to extend it to EU citizens (if not already the case even with Brexit). I think that EU had offered to allow people from UK to remain in Europe for up to 180 days if UK Gov. agreed to a reciprocal agreement. As far as I remember the UK Gov. didn't respond. Of course this only covers people, no idea what might happen regarding boats.

Perhaps someone else can provide a link or correction if that isn't the case but replies will mostly be conjecture at this point, as already mentioned.

 

[Graham376]

Could anyone point me in the direction of what rules/regulations will be applied to EU flagged yachts in the UK as Brexit fully kicks in?
Maximum stay 180 days? Does anyone actually police this sort of thing in the UK? Are there any penalties for overstaying?
Thanks

What will happen depends on where you are resident and whether you want to take the boat back to the EU or keep it in the UK. If the yacht is EU VAT paid and in the UK on 31/12 it should remain VAT paid while in the UK, just as our boats based in the EU will retain their status. If owned by an EU resident, it should then be able to return to the EU using Returned Goods Relief.

If it arrives in the UK after 31/12 with a British owner, it may be subject to VAT/Duty. If an EU owner it will be a visiting boat and allowed to stay for whatever period is decided in negotiations, maybe the same 18 months as we will get in EU?

 

[LinTeal]

This subject has been dealt with at length on the Liveaboard site.The real immediate concern seems to be one of VAT status.If you are UK based but intend next year to say sail the Mediterranean the advice appears to be to ensure your boats is in say France on 31 December otherwise you may be liable for VAT in the EU despite having paid it in the UK. But check out those with greater knowledge on this subject on the Liveaboard site.

 

[Baggywrinkle]

Flag state has no relevance to VAT/Import.

Rules are currently ...

If your EU boat is VAT paid and in the UK overnight on the 31.12.2020 then it will have become UK goods only and is only free to circulate in the UK. Subsequently returning it to the EU will require you to claim the EU country equivalent of Returning Goods Relief to avoid paying VAT and Import Duty in the port of entry where you return the boat to the EU.

If your boat is VAT paid and in the EU overnight on the 31.12.2020 then you will need to do an 18 month temporary import to visit the UK. This is quite easy to do, should take half a day at the port of entry and just means you have to do an export/import every 18 months to reset the import clock - also easy to do.

EU Commission confirms RYA thinking on Returned Goods Relief
https://ec.europa.eu/taxation_customs/sites/taxation/files/rules_for_private_boats-faq_en.pdf

 

[Graham376]

Flag state has no relevance to VAT/Import. Rules are currently ...
If your EU boat is VAT paid and in the UK overnight on the 31.12.2020 then it will have become UK goods only and is only free to circulate in the UK. Subsequently returning it to the EU will require you to claim the EU country equivalent of Returning Goods Relief to avoid paying VAT and Import Duty in the port of entry where you return the boat to the EU.

What we don't know is where the OP is resident. An EU resident visiting the UK in an EU flagged boat has no problems, except maybe time limited. If a UK resident brings in an EU (or any other flag) boat (which he has purchased there) after 31/12 then VAT will be due on the import.

 

[Baggywrinkle]

What we don't know is where the OP is resident. An EU resident visiting the UK in an EU flagged boat has no problems, except maybe time limited. If a UK resident brings in an EU (or any other flag) boat (which he has purchased there) after 31/12 then VAT will be due on the import.

Absolutely true, after Brexit buying a VAT paid yacht in the EU makes no sense if you want to use it in the UK as a UK citizen or resident, as you will be liable for import duties and VAT.

... the flipside is that as a UK citizen you can keep a VAT unpaid yacht in the Med under Temporary Admission (TA) .... so for some, back to the good old days of avoiding VAT on your yacht in the Med. Huge advantage to millionaires etc ... with some moderate savings to be made by the rest of us.