PAY VAT IN ANOTHER COUNTRY

[CLAMMAN]

I am buying a non VAT paid boat outside the EC. I have spoken to VAT helpline,& don't fancy how they value it & deal with it. After quite a bit of pushing they finally agreed that I could pay VAT in any EC country. Can anyone give me advice on how to go about this? Germany Luxemberg & Spain all have rates slightly less than ours. Anyone got phone numbers or contacts how I go about this?

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[snowleopard]

this comes up regularly. i believe the azores have one of the best rates.

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[duncan]

not how but where - I thought Malta was down around 4% vat?

<hr width=100% size=1>madesco madidum ..../forums/images/icons/smile.gif

 

[CLAMMAN]

Malta is 4% on food 18% on everything else .I've checked them out . It also seems that you don't need to take the boat to them just agree on a value.
But I'm not sure ,thats why I'm asking you experts!!!!

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[Sybarite]

Yes. I posted some time ago (6-12 months ?) with all the rates per EU countries if anyone wants to do a search.

John

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[Sybarite]

Under the old navigational categories in France, if you bought a Category I boat (> 10 metres and unlimited) it was deemed for tax puposes to spend half of its life outside of territorial waters and so the VAT on LEASE payments was halved ( 9.8%).

John



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[npf1]

I've read somewhere (on the net, so do check the facts), that Madiera has the lowest rate at 12%. However, the actual valuation the inspectors put on the boat is key and I've also heard that the Azores inspectors often come up with the lowest valuations. As I said, I read this somewhere and do not know if it is opinion or fact!

<hr width=100% size=1>Planning to be cruising 2005 & might need crew.

 

[trouville]

I hope thats still true :quoteAzores inspectors often come up with the lowest valuations,
They really are nice people its worth going there, You will really enjoy yourself but things change rapidly--i hope not in the Azores though!!!

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[jfm]

You mention Luxembourg - not much sea there. Point is, you can pay the VAT anywhere in EU, but you have to take the boat there physically. You pay VAT in the first country you bring the boat into. Do not rely on a telephone statement from a junior HM Customs official "After quite a bit of pushing they finally agreed that I could pay VAT in any EC country" because they're wrong in law

Malta had a temporary VAT rate 4% but that was a gizmo and has expired. Malta also say you can pay VAT there without taking the boat there. Well of course they would, they'd like the money. But that is very dangerous. If you paid VAT in Malta (or anywhere) without actually going there, then you took the boat to say the UK, the UK VAT boys would have a strong claim for UK VAT on the grounds that the Malta or wherever VAT was not properly paid. I mean, the issue is that you need every country you visit to respect the VAT payment you claim you have made in Malta or wherever.

Spain has a reputation for very helpful valuations. They use pretty agressive depreciation tables. I have actually seen valuations done by Torquay that are eyewateringly attractive. You need an agent who knows how to handle it.

Can you confirm the length and type of boat - there are special rules in France

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[BlueSkyNick]

it was <A target="_blank" HREF=http://www.ybw.com/cgi-bin/forums/showthreaded.pl?Cat=&Board=ym&Number=513017&Search=true&Forum=All_Forums&Words=Sybarite&Match=Username&Searchpage=19&Limit=25&Old=allposts&Main=512858> this post </A> John, from May.

<hr width=100% size=1>Tide and time wait for no man.

 

[Sybarite]

Thnx Nick


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[Seafort]

Register in Turkey and be exempt when they join the E.U. /forums/images/icons/wink.gif

Dave.

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[Lizzie_B]

Having read your post I was puzzled by your comment re 'how VAT is collected', as I had previously sought advice from HMC&E re VAT payment before buying a boat in US. So I phoned them again today and received the same advice from them as before, that I simply pay VAT on the amount I paid for the boat, as stated on the bill of sale, but that it would be useful if I kept the bank transfer sheets to save any potential problems with exchange rate differences at time of import. They are writing to me to confirm this advice. I don't understand what the problem is with that?

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[Guest]

Post deleted by danfoley

 

[Lizzie_B]

Just phoned the help line number on the home page of their website and chose option two. On this occassion spoke to nice lady. Judging by her accent she was in Cardiff. Thanks for the Azores info. It looks like it might be cheaper than UK Customs. Is there a website I can access for more info? I'm exempt UK import duty as 12metres plus.

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[jfm]

Exactly Fatipa. But as well as getting proof of VAT paid, keep proof that your boat was in that country too.

Lizzie, be very careful about VAT helplines. If an official tells you something that is wrong in law (and that's pretty likely - folk who really understand VAT law don't work in a call centre - just the way of the world ) they will renege on it and apply the actual law. A claim that the helpline told you wont cut much ice

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[CLAMMAN]

The advice I was given by the helpline was that because the boat is a private purchase. & not thru a broker they would do there own valuation at port of entry.To which I said fine that will be the value less the 17.5% of unpaid VAT. He said no it will be valued at the rate of a similar vessel for sale in the UK including the VAT. Which is why I would like to agree a value before entering that country .
UK C&E won't do that.

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[CLAMMAN]

Whats Torquay (besides a Devon town)
The boats 11.28m plus bow sprit
Anyone know an agent who would know how to deal with it?

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[jfm]

Clamman, that is why it's a waste of time using the helpline for anything oother than mundane stuff. All that info given to you by the helpline is total nonsense, utterly worng. The amount you pay VAT on is the pre-VAT value. And the private purchase vs broker thing is just plain wrong. As I said above, VAT is complex and smart tax experts do not work in call centres

They will not agree a value pre import though, and neither should they imho - their wages are paid by the taxpayer and it's not reasonable for taxpayer to fund speculative research and haggling following which the applicant can just decide not to import after all. The valuation number is your risk, and that's how it should be, imho.

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[jfm]

Sorry, I wasnt clear. I meant the Torquay VAT office, which deals with many VAT valuations on boats brought by CI dealers from Jersey. Ahem.

Yes an agent can help. Jersey boat dealers know what they're doing and can argue a low value. Frankly I dont think a non boat-oriented VAT agent will help - yeah they'll help fill in the forms but wont know about arguing a low boat vlaue

11m will not qualify for the special Frecnh treatment, so ignore that point. 20m is the sort of minimum, ish

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