VAT

[rod]

I am looking at a 1993 Callisto built in Uk but in Caribbean and not VAT paid.

If fitted out in Uk after hull build and lots of gear added later, how do I work out VAT liability?

Any help appreciated

 

[AndrewB]

You can't ... a valuation is set by Customs when you arrive based on market value. They may take into account what you paid (get a decent receipt), but are not bound to.

As an EU resident you are supposed to pay VAT at your first port of entry into the EU (excl. Azores). There's a lot of gossip about where makes the lowest valuations (also lowest VAT rates).

I've heard that the Customs Unit at Dover is particularly clued up about VAT on yacht imports and well worth calling. Also see the RYA advice at http://www.rya.org.uk/Cruising/faqs.asp?contentID=568923.

PS To avoid the dreaded RCD regs you MUST have clear proof the yacht was built in the EU, and before 1998.

 

[grahama]

Andrew
I think you'll find the Azores are included as part of the EU they also have a lower duty rate that the UK

 

[AndrewB]

Vat in Azores: True but ...

The Azores is part of Portugal, and therefore of the EU. It has concessionary low rate of VAT (8%??), and for that reason EU residents (other than Azorians) are not permitted to pay their VAT on imports there. You are obliged to wait until you reach mainland Europe.

That's what we were told when we passed through 3 years ago: the rules may have changed since.

 

[Guest]

If the boat was built and fitted out in UK then vat will have been paid at the time on most of the component parts.
Dover yacht unit ceased to exist many years ago despite info in vat booklet from Customs and excise
Try your local vat advice centre who were very helpful in my case with a bought hull and self finished boat. with good invoice records showing vat paid on major components they provided a "vat deemed paid letter" which has been used around europe.
The key thing is evidence that vat was paid in uk during build and fitting out which should be obtainable somehow.
Good luck, it's worth the effort.