Are there any Florida Brokers Available For A Question?

[ranger58sb]

Originally Posted by skipmac

Reading the thread I see other posts also refuted the claim. Also unless I misread it, the OP stated it was the purchases and not the seller that was required to pay the sales tax.

Yeah, sorry, I think I mis-remembered that on my earlier note.

-Chris

[jkleins]

Everyone seems to be missing the part of that law that says “unless exempt”. If you go down to the exemptions the first one is “the boat is sold to a nonresident”. Florida residents do have to pay the tax and it is collected by dealers but nonresidents are exempt and the 90 day rule applies to get the boat out of Fl before the use tax kicks in.

[skipmac]

Originally Posted by jkleins

Everyone seems to be missing the part of that law that says “unless exempt”. If you go down to the exemptions the first one is “the boat is sold to a nonresident”. Florida residents do have to pay the tax and it is collected by dealers but nonresidents are exempt and the 90 day rule applies to get the boat out of Fl before the use tax kicks in.

But if you read the next line under the section about exemptions.

"Boats Sold to Nonresidents

A boat sold by or through a registered dealer or broker to a purchaser who is a nonresident of Florida at
the time of taking delivery of the boat in Florida is exempt"

[smj]

Originally Posted by skipmac

But if you read the next line under the section about exemptions.

"Boats Sold to Nonresidents

A boat sold by or through a registered dealer or broker to a purchaser who is a nonresident of Florida at
the time of taking delivery of the boat in Florida is exempt"

Exactly, the key words are registered dealer or broker, not boat owner.

[jkleins]

Originally Posted by skipmac

But if you read the next line under the section about exemptions.

"Boats Sold to Nonresidents

A boat sold by or through a registered dealer or broker to a purchaser who is a nonresident of Florida at
the time of taking delivery of the boat in Florida is exempt"

This is the text f that section . I guess it am not seeing it. I also did this very thing before becoming a Florida resident and the taxing authority agreed that no tax was due.

“Boats Sold to Nonresidents
You may purchase a boat tax-exempt if the sale is through a registered boat dealer or yacht broker to a nonresident who will remove the boat from Florida.
You must meet the following requirements:
The purchaser must sign an affidavit stating that he or she has read the law and rules regarding the specific exemption claimed and agrees to remove the boat from Florida.
Aboatoflessthan5nettonsofadmeasurementmustleaveFlo ridawithin10daysof purchase or immediately be placed in the care, custody, and control of a registered repair facility for repairs, additions, or alterations. The boat must leave Florida within 20 days after completion of the repairs.
Iftheboatis5nettonsofadmeasurementorlarger,thepurc hasermayobtainasetof Florida Department of Revenue boat decals, which authorize the boat to remain in Florida waters up to 90 days after the purchase. This period may be extended to 180 days with the purchase of a 90-day extension decal. The decals must be obtained from the selling dealer or broker.
Within 5 days of the date of sale, the dealer must provide us with a copy of the invoice, bill of sale, and/or closing statement; and the original, signed, removal affidavit.
Within10daysofremovingtheboat,thepurchasermustfurn ishuswithproofthattheboat left Florida. Receipts for fuel, dockage, or repairs purchased outside Florida are acceptable proof, if they identify the boat.
Within30daysofremoval,thepurchasermustprovideuswit hwrittenproofthattheboat was licensed, titled, registered, or documented outside Florida; or provide evidence that he or she has applied for such.
This exemption does not apply to a Florida resident, an entity where the controlling person is a Florida resident, or a corporation where any officers or directors are Florida residents.”

[skipmac]

Originally Posted by jkleins

This is the text f that section . I guess it am not seeing it. I also did this very thing before becoming a Florida resident and the taxing authority agreed that no tax was due.

“Boats Sold to Nonresidents
You may purchase a boat tax-exempt if the sale is through a registered boat dealer or yacht broker to a nonresident who will remove the boat from Florida.
You must meet the following requirements:
The purchaser must sign an affidavit stating that he or she has read the law and rules regarding the specific exemption claimed and agrees to remove the boat from Florida.
Aboatoflessthan5nettonsofadmeasurementmustleaveFlo ridawithin10daysof purchase or immediately be placed in the care, custody, and control of a registered repair facility for repairs, additions, or alterations. The boat must leave Florida within 20 days after completion of the repairs.
Iftheboatis5nettonsofadmeasurementorlarger,thepurc hasermayobtainasetof Florida Department of Revenue boat decals, which authorize the boat to remain in Florida waters up to 90 days after the purchase. This period may be extended to 180 days with the purchase of a 90-day extension decal. The decals must be obtained from the selling dealer or broker.
Within 5 days of the date of sale, the dealer must provide us with a copy of the invoice, bill of sale, and/or closing statement; and the original, signed, removal affidavit.
Within10daysofremovingtheboat,thepurchasermustfurn ishuswithproofthattheboat left Florida. Receipts for fuel, dockage, or repairs purchased outside Florida are acceptable proof, if they identify the boat.
Within30daysofremoval,thepurchasermustprovideuswit hwrittenproofthattheboat was licensed, titled, registered, or documented outside Florida; or provide evidence that he or she has applied for such.
This exemption does not apply to a Florida resident, an entity where the controlling person is a Florida resident, or a corporation where any officers or directors are Florida residents.”

I'm not certain one way or the other how the current rules work. I do know for a fact that in the past if you bought a boat in Florida, removed it from thw state in 30 days, registered, used and kept the boat in another state you were absolutely exempt from FL sales tax.

However everything I read now seems to indicate that this is no longer the case though some sections of the rules do seem ambiguous.

If I have time tomorrow I may give a call to the FL Dept of Revenue to clarify for the benefit of those that may be impacted by the answer.

[MicHughV]

Let's get back to the basics......you intend to buy this boat sight unseen ????

[Wilyum]

Originally Posted by skipmac

If I have time tomorrow I may give a call to the FL Dept of Revenue to clarify for the benefit of those that may be impacted by the answer.

Keep us posted. Also once you've left the state after 90 days, how long till you can return and still be exempt?

[Montanan]

Going back to the OP's post #1:

Key fact:

"It's a private sale . . ."

The broker sale tax exemptions are NOT applicable.

Reference Link:
https://floridarevenue.com/Forms_lib...t/gt800005.pdf

Planning to buy a boat in Florida, or have plans to bring one into Florida? The Florida Department of Revenue reminds you that tax compliance is an important aspect of boat ownership.

What is Taxable?

Sales and Use Tax

All boats sold, delivered, used, or stored in Florida are subject to Florida’s sales and use tax, plus any applicable discretionary sales surtax, unless exempt. Florida boat dealers and brokers are required to collect tax from the purchaser at the time of sale or delivery.

When a boat is sold by someone other than a registered boat dealer, or a boat is brought into Florida for use in Florida, Florida use tax is due. The “use” part of Florida’s sales and use tax provides uniform taxation of items. Florida’s 6% use tax, plus any applicable discretionary sales surtax, is due on a boat used or stored in Florida when:
• The boat is purchased from a person who is not a registered boat dealer and the sale or delivery of the boat occurs in Florida;
• The boat is purchased in another state, a territory of the United States, or the District of Columbia and is brought into Florida within six (6) months of the purchase date; or
• The boat is purchased in a foreign country and is brought into Florida at any time.

When the purchaser does not pay Florida sales and use tax to the seller for a boat purchase, any sales and use tax, plus any applicable discretionary sales surtax, is paid to the county tax collector, licensed private tag agency, or the Department of Highway Safety and Motor Vehicles when registering the boat
in Florida

. . .

When is Tax Due?

Unless exempt, a boat must be licensed, titled, or registered in Florida with any county tax collector, licensed private tag agency, or the Department of Highway Safety and Motor Vehicles:
• Within 30 days of the purchase date or the date the boat entered Florida; or
• Within 90 days after the boat enters Florida, when the boat is documented, licensed, titled, or registered in another state. One can promptly remove the boat purchased in a private sale from Florida and register it in another State, if that State is the place of principal use of the vessel, but if the vessel that is registered in another State enters Florida and stays in Florida for 90 days then Florida becomes the vessel's State of principal use and it must be registered in Florida and use taxation becomes applicable, albeit with a credit for reciprocality of having paid a use tax in another State.

Florida use tax, plus any applicable discretionary sales surtax, due on a boat purchased in Florida or brought into Florida within six (6) months of the date of purchase, is paid at the time of licensing, titling, or registering the boat in Florida,

. . .

Penalty and Interest

Note the very time specific non-resident purchaser exemptions detailed below which are directly linked to when the boat is required to be registered and registration is when the tax is paid.

Anyone who purchases a boat and obtains a tax exemption as a nonresident purchaser is subject to Florida use tax, discretionary sales surtax, interest, and penalties (including a mandatory penalty equal to the tax) when:
• A boat that bears a decal set [comment added - a boat with a Florida decal set is a Florida registered vessel] remains in Florida after the expiration of the decal;
• A boat that does not bear a decal set and is not in a Florida registered repair facility remains in Florida more than 10 days from the date of purchase;
• A boat that does not bear a decal set and that was in a Florida registered repair facility remains in Florida more than 20 days from the date the repairs or alterations were completed;
• A boat returns to Florida within six (6) months from the date of departure, is not placed in a Florida registered repair facility, and stays in Florida more than 20 days; or
• The nonresident purchaser does not furnish the Department with the required documentation.

A purchaser who attempts to evade tax by submitting a fraudulent affidavit is subject to the tax due, interest, AND a mandatory 200% penalty (according to section 213.29, Florida Statutes). The purchaser is also subject to a fine of up to $5,000 and up to five (5) years in prison.

[skipmac]

Was able to speak with the specialist at the FL Dept of Revenue office in Tallahassee about sales tax on used boats. He confirmed that if purchasing a used boat from a registered dealer or broker that the buyer has 30 days to remove the boat from the state for registration elsewhere.

He also confirmed that this exemption does NOT apply to sales by a private individual. When asked why the disparity he could only speculate that it was a measure to promote sales from FL boat dealers. He did not argue that if a private sale took place, the buyer was not a FL resident and removed the boat from FL promptly that it might not be noticed. BUT if it is you could get a bill from the state.

[Chotu]

And I need to retract something from this thread. I forgot that I did buy my boats through a broker actually. So, that’s why I had the sales tax exemption.

[Wilyum]

Originally Posted by skipmac

has 30 days to remove the boat from the state for registration elsewhere.

Always heard it was 90 days, within possibility for extension to 180 days, maybe the rules changed recently?

[skipmac]

Originally Posted by Wilyum

Always heard it was 90 days, within possibility for extension to 180 days, maybe the rules changed recently?

I think you could be correct. I was thinking 90 days but could not remember for sure. Sign of brain cell deterioration.

[Birdlady]

If you buy a boat for cash without a broker in Florida and move it to Texas do you pay tax in Florida?

[smj]

Originally Posted by Birdlady

If you buy a boat for cash without a broker in Florida and move it to Texas do you pay tax in Florida?

Read post #25 or go to https://www.floridasalestax.com/docu...Purchasers.pdf
And interpret it how you wish.