Yacht buying in Italy.. Assistance required.

[boatman61]

Originally Posted by grantmc

Assuming you go ahead with your plan then when the boat is imported into NZ it will be liable to 5% duty and 15% GST. It doesn't matter how the boat arrives in NZ. You'll probably be allowed a concession of the duty portion if you don't sell the boat within 2 years of arrival. But you'll need to check you comply. New Zealand Customs Service : Motor vehicles, boats & aircraft And GST and duty rates can change at any time. I remember Roger Douglas, the then Min of Finance saying GST would always be 10%, yeah right.

But Alistair you might want to review which registry to use.

Some people might consider registering the boat in NZ is a negative. It will mean that for that vessel to leave NZ again (under sail) then it will need to gain a Cat. 1 clearance. That can be expensive, difficult and time consuming. I'm not suggesting anyone would or should skimp on the safety of their vessel; just pointing out the fact.

You would likely qualify to register the boat under the British Small Ships Register, or perhaps the Channel Islands (Jersey) register, plus many others. If registered outside of NZ then the boat's resale value inside NZ would perhaps be higher. It also means it would be much simpler to clear Customs and sail the boat offshore from NZ (irrespective of ownership).

Where to register is a common debate here in NZ. The rules for Cat 1 are set by Yachting NZ and are all based around offshore yacht racing in the cold and stormy seas around NZ. The requirements don't necessarily fit a slow old cruiser sailing up to Tonga for a few months of gunk holing in the sun. So for many people the requirements seem an over kill.

I would encourage you to spend NZ$11.50 and buy a copy of Yachting NZ's Safety Regulations. Here's the link. You'll then be able to spend a few hours deciding yourself whether any boat you might purchase will likely comply. The guide is actually a very comprehensive checklist for an ocean cruiser.

Obviously much depends on the age and type of vessel you end up buying, along with the plans you have for the boat once you get it back to NZ.

Nice post.. good info for others down the line.. its a great checklist for everyone..

[SaltyMetals]

If the OP is buying new then he can buy without VAT but there will be a max number of months he can still have it in the EU. It is at least 3 months (i did it when i was a resident in Switzerland for a purchase of a new boat in the UK), an earlier comment reckoned 18 mths.

What nobody has actually pointed out to the OP is that if the boat is a second hand boat VAT paid he will never be able to get the 20% VAT discounted off the price. I would recommend that if it is second hand that he makes sure he keeps the evidence of VAT payment so if he really wished to come back to EU waters he will not be bothered by customs asking a 20% VAT payment on the market value of the boat.

[Sea Frog]

Be aware that no matter whether you are a resident of EU or not, when buying a boat in Italy you are obliged to pay an Italian tax for owner change. That is, 1200 Euro for boat 12m - ... (don't know upper limit). This is true if your transaction goes in Italy, i.e. you sign a contract in Italy. I have just recently lost 1200 Euro to Italian tax monster when I bought a boat there even though I am not a resident of EU. The only way to avoid that is to have a contract signed outside of Italy (it was impossible in my case). Then you don't need to pay that tax.

The VAT is another story. Just be aware of the above sneaky tax.

[SaltyMetals]

Not sure if this thread is finished or not. I should correct my statement about saying Tiny nice could not get the VAT discounted from the price. If the boat is privately owned this is correct. If the boat is owned by a EU company then I think it is possible to get the VAT discounted. He should ask the Seller.

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