Selling our yacht in the US

[Oscarpop]

One option when we finally sail to The US next year is to sell the yacht.

Aside from the brokerage fees which seem to be standard at 8-10% are there any taxes to pay ? Or any other costs incurred from a boat sale in the US?

The boat was purchased from new in the UK and we paid VAT on it when we purchased her.

Cheers

 

[TQA]

I looked into this some years back and in Florida there was a small tax to pay before you advertised it. Maybe 2 % of advertised value.

Any decent Florida broker should know the ins and outs .

I was impressed by these guys when I was in Florida on my boat hunt. Advantage Yacht Sales & Service Inc. is located in Martin County Florida at Indiantown boatyard.

 

[Tradewinds]

Perhaps ask on [B]http://www.cruisersforum.com/forums/[/B] ?

That forum is much more US centric (although I'm sure Robin here will be able give advice).

 

[wilkinsonsails]

When we purchased our boat in Florida a few years ago ,there was a 9% purchase tax .You could avoid paying this if the boat left Florida within 21 days .If still relevant ,It may affect buyers choice.

 

[Jeannius]

I sold my boat in Florida a couple of years back. Had to officially import the boat and pay Florida import tax of around 1.5% of current value. No other taxes after that. Could have avoided the import tax but then the boat would have had to be advertised as 'not for sale to U.S. Citizens while within U.S. waters. Not too difficult to get around that (sail 12 miles out, sign the deal, sail back) but a bit of hassle.

 

[sailaboutvic]

Interested in what's being said , we keep thinking of buying a second boat based in the carbs or the US to use in the winter months so keeping an eye on what being said here

 

[Garold]

One option when we finally sail to The US next year is to sell the yacht.

Aside from the brokerage fees which seem to be standard at 8-10% are there any taxes to pay ? Or any other costs incurred from a boat sale in the US?

The boat was purchased from new in the UK and we paid VAT on it when we purchased her.

Cheers

Change of plan?

Garold

Ps. Prefer the new blog name

 

[Uricanejack]

Every State has its own rules regarding sales tax. Some have no sales tax.
If boat was built in Europe. It will be subject to an import tax or duty which is federal. If built in North America, No import tax.
If the boat has been "imported" i.e. is already tax paid. this will not apply. The Import tax or duty is quite separate from sales tax. Selling a non US built boat in US, Witch is subject to Duty will be quite difficult. May even have to be advertised as not fore sale in US. Once boat has been imported and registered in US this will become easier.
In Order to register in US as US Flag you need a US address. Registering with State only title is possible without US Address.

It's all a complication which will probably affect salability and resale value. Unless its a very well known and popular brand. In US.

 

[Oscarpop]

Change of plan?

Garold

Ps. Prefer the new blog name

No change of plan at all. If anything we are more taken with being liveaboards an ever. We just had our heads turned by a larger yacht, and apparently southerlies sell for a higher value in the US. So one option was to put her up for sale at the end of next season and see what happens.


Thank for following the website by the way. It was terysas idea to change the name. I sullenly agreed , but it does let people at work with filters view the site without the tech people raising eyebrows.

 

[bjl]

It might be worth obtaining a expert advice before you arrive in the States because if you get the sale in the US wrong you, the importer, risk losing your yacht or its value. I've just checked my Cruising License and read the warning that yachts are subject to customs duties if "brought into the US by a nonresident free of duty ...and sold or chartered within 1 year of date of entry. Any offer to sell or charter (ie listing with yacht brokers or agents) is considered evidence that the vessel was brought into the US for sale or charter to a resident that the vessel no longer is valid for personal use of the nonresident. The cruising license then becomes invalid. If a yacht is sold without prior payment of duty, that yacht or its value (to be recovered from the importer) shall be subject to forfeiture".

 

[Robin]

Florida Sales Tax is not included in prices advertised, but is added on at sale, payable by the buyer through the broker, currently 6.5%. I don't know about import duty levied on non US imports. Broker fees usually run about 8%. Buyers will organise a survey paid for by them, plus the cost of haulout for the survey. Most buyer want a sea trial too, with or without a surveyor on board as well for engine trials. WE have used Whiteaker Yacht Sales, twice as buyers and once as a seller. their best broker man is Gary Monell, very hard working. They are based in Bradenton FL, south of Tampa but cover the whole south east USA.

 

[bjl]

You might also like to browse the CBP website, which shows the requirements to import a boat for personal use. It reports that the duty on a yacht is 1.5%. Another rate may apply to the yacht's tender. The website also gives more useful information on the process, including proof that the engine conforms to Environmental Protection Agency Standards.

 

[mixmaster]

Also. If your yacht is EU VAT paid, if you sell it in the EU it remains so. If you sell it in another jurisdiction it loses that status. That is part of the reason that yachts in the US have historically been cheaper than here. A US buyer might not care and I suspect at current exchange rates the price differential isn't significant (that might change post Brexit vote) but any European buyer will.