Foreign flagged bill submitted to congress

[Tkeeth]

SuperyachtNews.com - Business - Foreign-flagged sale restriction bill resubmitted in Congress

What do you guys think, is this a good thing?

[denverd0n]

I see no reason for the current law, and so see no downside to repealing it.

[Tkeeth]

I agree, could make buying in med where boats are cheaper and cruising back home easier?

[surf_sail]

Yes. Free markets are a good thing. But I don't believe it only defers import tax. It just makes the transfer of foreign vessels from one us owner to another easier. I don't think that there is a big tax impact since large superyachts will remain foreign vessels either way. For regular cruising boats it may lead to fewer us flagged vessels, less import duty collected, and equalizes US and Eu prices (currently US is at premium). But the import duty is so small the impact will be negligible.

[Pelagic]

It was a stupid law, impossible to enforce and another originally Democratic attempt to invoke a nuisance Tax on the wealthy.

To circumvent, all that was required in all Advertising and communication was a bold printed statement by broker:
"NOT FOR SALE IN THE USA"

The whole thing was a joke!

Did not change anything other than to make foreign flagged Superyacht Owners nervous about keeping their yachts in the US, whatever their nationality.

Interesting that a Dem is taking credit for repealing

Leopard changing spots?

[gjordan]

I doubt it will make any serious difference, but we should be happy that our congress is actually doing something for a change instead of fighting over how to give rich people more breaks. I had forgotten how small import duty is on boats. Buying in the Med sounds pretty good. ______Grant.

[denverd0n]

Originally Posted by Pelagic

...another originally Democratic attempt to invoke a nuisance Tax on the wealthy.

Yeah. Right. The law that THIS law proposes to repeal was passed in 1930, when both houses of congress were controlled by Republicans, and the president was a Republican. So, of course it was a Democratic thing.

[deluxe68]

Originally Posted by Pelagic

It was a stupid law, impossible to enforce and another originally Democratic attempt to invoke a nuisance Tax on the wealthy.

To circumvent, all that was required in all Advertising and communication was a bold printed statement by broker:
"NOT FOR SALE IN THE USA"

The whole thing was a joke!

Did not change anything other than to make foreign flagged Superyacht Owners nervous about keeping their yachts in the US, whatever their nationality.

Interesting that a Dem is taking credit for repealing

Leopard changing spots?

Did you read the article?

"IYBA is not requesting a tax cut, just a more logical timing for the collection of the duty. The bill would defer the import duty of 1.5 per cent to the time of the closing, rather than at the time of listing the boat for sale. Denison exemplifies: “Could you imagine having to pay taxes when you list your house for sale, rather than at the closing?"