Non VAT paid boats visiting EU

[s/v moondancer]

Heinwaisman,

The 18 months may not hold up if you stay in one place.

http://www.cruisersforum.com/forums/f17/boat-seized-in-spain-by-police-24975.html

 

[Tranona]

As a non EU resident you will have no problems with your 18 months.

The issue about company owned boats is that the OP was an EU resident and it is his residence that is the issue. Temporary importation is related to the individual and is therefore personal.

If you do decide to settle in the EU you may have difficulty in selling your boat. Not only will you have to pay VAT which in itself is not a big issue other than getting a valuation. However you will have to get a CE mark which means complying with the RCD. This is a major obstacle and you need to take advice. It is unlikely that (despite you having crossed oceans) that you will be able to meet Category A (Ocean) because you may not have the design data available and the standard covers many items such as engine emissions, construction details and safety equipment that you just cannot meet with older boats.

So your market will be limited to non-residents, or residents who are going to keep the boat outside the EU.

Some may tell you that you can ignore all this, and I know of non EU boats owned by residents and kept in the EU. However, very risky as it is a criminal offence and when you come to sell you need to find a buyer who has a similar cavalier attitude to the law!

 

[goboatingnow]

I would be very careful, sailing a "company owned" boat around the med. ( if you hold an EU passport) This is a major focus for tax authorities as its seen as a way that people avoid VAT.

Customs authorities can simply view you as the "beneficial owner" irrespective of what the paperwork says. This is especially teh case in the uk, and france, as think about it, why is a private individual using a corporate boat. You need to make sure your paperwork stands up to scrutiny. If you are merely the owner of the corporation, owing the boat , then the beneficial ownership rule can be applied and it usually is. As the OP is a EU resident, most countries will apply the benefical ownership rules and it will take a lot of justification not to do otherwise ( charter records, prrof of not being a "hobby " business, etc).

Its one way of bringing down lots of hassle.

Temporary importation is only available to non-EU tax residents ( citizenship is actually irrevelant) however if you have a EU passport even though you are not tax resident, be prepared to prove you arnt so. Note that Temporay importation is available to companies , ie non EU established. ( temporary importation is a wider sibject then just boats), But again if you as the owner/skipper hold a EU passport you need to be able to prove everything and even then you could get stuck for VAT. ( remember you might have to do this all in a foreign language). NOte that where a company avails of TI , there are severve restrictions on who can use the boat, basically a EU tax resident ( other then for basic maintenance reasons) cannot sail the boat.

PS: Post contruction CE certification can readily be done albeit costing around 8-10K euors to do it. people like CEproof in Hamble are one of the experts. Its a pain but not too difficult.

"Heinwaisman,

The 18 months may not hold up if you stay in one place.

http://www.cruisersforum.com/forums/...ice-24975.html "

No this is about spainish matriculation tax and as the people concerned unwitting became a tax resident by staying in spainish for over 182 days , hes due to pay it.

 

[goboatingnow]

you are EU resident then you cannot operate legally a non VAT paid boat in the EU. End of story

Thats not strictly true, for example paid charter skipper, sailing school boats) or anybody operating commercially can legimately be operating a non-VAT paid boat.

 

[Tranona]

Thats not strictly true, for example paid charter skipper, sailing school boats) or anybody operating commercially can legimately be operating a non-VAT paid boat.

Thanks for the correction, I know - the OPs were private individuals with no suggestion of operating commercially - in fact one made that point specifically.