SailNet Community

SailNet Community (https://www.sailnet.com/forums/)
-   General Discussion (sailing related) (https://www.sailnet.com/forums/general-discussion-sailing-related/)
-   -   Best Eastern Seaboard State for Sales Tax (https://www.sailnet.com/forums/general-discussion-sailing-related/332560-best-eastern-seaboard-state-sales-tax.html)

DaveKurtz 01-29-2020 01:24 PM

Best Eastern Seaboard State for Sales Tax
 
So... I purchased a sailboat in Florida at the end of last year and purchased a temporary sales tax exemption at the same time. I have to be out of Florida by early March or face paying $18K in sales tax there. I'm curious if there is an obvious choice for registering my boat in a particular state and paying far less taxes. I'm sailing up the east coast all the way into the Great Lakes this summer and then returning to the Atlantic before the Lakes freeze up next fall and keeping the boat somewhere south of the Chesapeake Bay on a more permanent basis.

Dave

denverd0n 01-29-2020 02:50 PM

Re: Best Eastern Seaboard State for Sales Tax
 
It's not as simple as just picking someplace to register the boat. Most states will insist that you register it with them if you stay a specified amount of time (90 days in Florida). At that time they will usually want you to pay sales/use tax, normally with a credit for any sales/use tax you have already paid elsewhere. Many also have a time limit where -- if you have owned and used it for X number of months elsewhere (6 months for Florida) -- you are now exempt from paying any additional sales/use tax. So where the boat ends up spending time is most likely where you are going to have to register it, and pay tax.

I also have to say that Florida into the Great Lakes and back to the Chesapeake, in the time frame you are talking about, is pretty ambitious. That's not going to be a leisurely sail with plenty of time for sight-seeing.

Good luck, whatever you do.

john61ct 01-29-2020 03:21 PM

Re: Best Eastern Seaboard State for Sales Tax
 
Give a call to http://amrl.com/attorney/catherine-kent/

will be worth every penny

outbound 01-29-2020 05:50 PM

Document in R.I. Then leave the country. No tax

contrarian 01-29-2020 07:39 PM

Re: Best Eastern Seaboard State for Sales Tax
 
Don't know about Virginia but I'm pretty sure that North Carolina, South Carolina and Georgia all have personal property taxes on boats. If you have 18k in Florida Sales Tax, you're personal property tax in other states will be substantial. This needs to be researched thoroughly to find the lowest tax alternative. Maybe those in Virginia and Maryland will chime in. Please update when you have done more in depth research.

RegisteredUser 01-29-2020 07:48 PM

Re: Best Eastern Seaboard State for Sales Tax
 
Quick answer and knowledge is via...a net search
No reason for chafe

Terry L 01-29-2020 09:31 PM

Re: Best Eastern Seaboard State for Sales Tax
 
Virginia sales tax is 2%. Maryland is 5% with a cap of $15k. If you have your boat in either state for over 90 days you are liable for the sales tax. I donít believe MD has personal property tax on boats under 100 ft. Virginia does, however, there are locations like Colonial Beach and Hampton that have reduced their rate to basically zero. Being on the Potomac, I had a choice of the two states and picked Colonial Beach, VA because it was cheaper (and convenient).
Terry

john61ct 01-29-2020 09:36 PM

Re: Best Eastern Seaboard State for Sales Tax
 
There are states that require you in certain circumstances to "make up the difference" if you mess up the timing.

FunkyJunk 01-30-2020 12:07 PM

Re: Best Eastern Seaboard State for Sales Tax
 
I believe Delaware has no sales tax.

john61ct 01-30-2020 02:37 PM

Re: Best Eastern Seaboard State for Sales Tax
 
Watch out some get you on a "use tax"


All times are GMT -4. The time now is 03:18 AM.

Powered by vBulletin® Version 3.8.8
Copyright ©2000 - 2020, vBulletin Solutions, Inc.
vBulletin Security provided by vBSecurity v2.2.2 (Pro) - vBulletin Mods & Addons Copyright © 2020 DragonByte Technologies Ltd.
User Alert System provided by Advanced User Tagging v3.1.0 (Pro) - vBulletin Mods & Addons Copyright © 2020 DragonByte Technologies Ltd.
(c) Marine.com LLC 2000-2012

 
For the best viewing experience please update your browser to Google Chrome