[LookingForCruiser]

Hi all,

So after a mere few years of nagging, my wife is giving in and letting me buy a sailboat. Yay for me!

Anyhow, we'll be taking a trip up to Canada in a few weeks to look at a couple of vessels. Should we decide to pull the trigger on one of those boats, I was wondering, anything special you need to do to buy a Canadian boat?

Oh, and I'm from the United States - Massachusetts in particular...

 

[scottyt]

okay, i would try to offer cash, american cash. that way they can try to get around any taxes if they have em. like 2 bills of sale one for you and one for them at 50 % of paid. or 50 % for both for your tax reasons. other wise i dont know

 

[boatpoker]

If the boat was built in North America you will only have to deal with your state taxes when you bring it home. If it was built outside of the NAFTA countries you will also have to deal with duty when you land stateside.

 

[sailingdog]

I believe what you're recommending is illegal in the US... having a falsified receipt for tax purposes is a very good way to become a federal overnight guest....

okay, i would try to offer cash, american cash. that way they can try to get around any taxes if they have em. like 2 bills of sale one for you and one for them at 50 % of paid. or 50 % for both for your tax reasons. other wise i dont know

 

[Jamiecdnboy]

As a general rule--If you are buying any new goods in Canada it will be subject to a GST levy(Goods and Services Tax) of 5% on the purchase price. If new, you will have to pay it, but I think you can get a credit back, or a portion thereof, if you apply to the Canadian gov't when you return to your State. I am not sure if an import duty applies with your State but of course that would have to paid where applicable.

GST may not apply on used goods except where the used good is sold by a dealer. Check with the dealer at point of sale.

Of course, do not rely on my advice but check with our border/immigration people to confirm.

 

[sck5]

boatpoker is write. Jamie is only right for Canadians. I shopped for boats in Canada (I live in NY) and the rules under NAFTA are that any boat that was ORIGINALLY built in a NAFTA country (which means Canada and the US since they are the only boat making countries in NAFTA) can be bought in either country and exported to the other tax free. But, as boatpoker says, you still have to pay your state tax and documentation costs, etc. when you bring the boat home to the US. The important thing is to make sure that the broker in Canada does the paperwork saying the boat is being sold as an export to the USA. The broker I was talking to had done this and said it was easy - and is what you need to be exempt from the GST and any provincial taxes that might apply. He also said that not all brokers were familiar with how to do this but it shouldnt be too hard to find one that could - he said any of the bigger brokerages would know all about it. Note that if the boat was originally produced in, say, Europe then other more complicated rules of origin apply and I have no idea how that works.

 

[Vasco]

Don't buy a Canadian boat. They are the worst built boats in the world. Leave them for the Canadians with their 79 cent dollar. Buy a good US built boat with 100 cent dollars.

 

[boatpoker]

Don't buy a Canadian boat. They are the worst built boats in the world. Leave them for the Canadians with their 79 cent dollar. Buy a good US built boat with 100 cent dollars.

From a guy with a Bendyteau :laugher :laugher :laugher

 

[modul8]

Don't forget your toque, eh?

 

[patrickrea]

Does this mean Vasco is hunting for a new boat?

 

[shawmac]

okay, i would try to offer cash, american cash. that way they can try to get around any taxes if they have em. like 2 bills of sale one for you and one for them at 50 % of paid. or 50 % for both for your tax reasons. other wise i dont know

Felonies aside, why would offering "american cash" make us go all weak in the knees? Just means we lose 2 to 3% at the bank on exchange. Unless you are silly enough to offer use "american cash" on par and then by all means, I even have a boat to sell you.

 

[LookingForCruiser]

Is the bank seriously taking 2-3% off the top to exchange USD for CAD ? That sounds criminal to me.

 

[johnshasteen]

Don't buy a Canadian boat. They are the worst built boats in the world. Leave them for the Canadians with their 79 cent dollar. Buy a good US built boat with 100 cent dollars.

You apparetly have not ever owned or sailed aboard a Canadian built Bayfield or Gozzard. Many years ago, when we sold our Bayfield 29 (which we took on the Galveston to Vera Cruz race and many other bluewater adventures). When we bought our Bristol, the fellow that bought the Bayfield took it on a world circumnavations - something you can't do in many of the "good US built boats" like: Hunter, Catalina, Bayliner and the other price-built production boats.

 

[patrickrea]

You apparetly have not ever owned or sailed aboard a Canadian built Bayfield or Gozzard. Many years ago, when we sold our Bayfield 29 (which we took on the Galveston to Vera Cruz race and many other bluewater adventures). When we bought our Bristol, the fellow that bought the Bayfield took it on a world circumnavations - something you can't do in many of the "good US built boats" like: Hunter, Catalina, Bayliner and the other price-built production boats.

I think vasco was kidding and trying to stop them from flowing south to you folks. Bayfields were and Gozzards are bulit just a couple of hours away from us here in Toronto and lots of them are sailing our waters.

 

[GreatWhite]

Regarding exchange rates, if you are buying over $50,000 my bank only charged about 1% with a bid price - so make sure you get a competitive rate... but with the exchange rate being so favorable lately this is great time for Americans to take advantage. I just received a prediction for the USD/CAD exchange rate and 2009 is predicted to be higher for the USD as follows:
End of period: 2009 II 2009 III 2009 IV 2010 I 2010 II
C$/US $ 1.300 1.250 1.180 1.160 1.140