Join Date: Mar 2006
Thanked 4 Times in 4 Posts
Rep Power: 11
Re: Proposed Registration Fees for MD
The 'blanket' in MD is that you have to pay any 'differential differences' between what you paid in sales taxes in your original state and that charged in MD ... THEN you are entitled to pay the MD. 'use' tax. Of course if you paid MORE than what MD extracts, there is no 'discount'.
Eg.: If your state has NO sales taxes, then when you bring your documented boat to MD you then pay the full MD sales tax, and then pay for the 'use tax' ... each and every two years 'after' the year that you pay the MD sales tax.
I don't think this is correct. My understanding is you pay the excise tax once either when you buy the boat or bring it into MD waters. IF you have your vessel USCG documented, then pay for the documented use decal ($10 every 2 years vs $24 for state registered boats). The form has a block to check for just the decal. Who can afford to pay 5% of the value of thier boat every two years?
Its not clear if the new registration fees will apply to documented boats or not. If they don't, its a huge loophole I expect many people will exploit.
My assumption was the required decal fee's were going up for all boats in MD.
s/v Palmetto Moon
1991 Catalina 36