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Default Help buying a boat - WA res - CA sales tax? Foreign use,.. WTF

Capt. JG wrote:
"ray lunder" wrote in message
...
On Thu, 01 Oct 2009 14:11:01 -0400, wrote:

On Thu, 01 Oct 2009 10:55:25 -0700, ray lunder
wrote:

Ahoy, I'm looking at a presently CA registered sailboat. It's 33', not
sure of displacement but it's a steel sloop so heavy. It's not USCG
documented but I think I want it to be. My residence is in WA state. I
hope to leave the boat in Mexico on the 10 year permit and not use it
in the USA at all. Well, maybe in San Diego for repairs or something
but mostly Mex and beyond until I run out of money or my yardarm falls
off.
Also, it was foreign built. I assume the Import extravaganza has
already been addressed when it became a CA registered vessel. Is this
circumstance treated differently when it becomes CG documented? I'd
appreciate any advice from people who've navigated this sticky, wreck
strewn reef before. Hoping to solve this without an attorney/marine
doc specialist.
Thanks as always for your time, ray.
You absolutely do not need an attorney or a "doc specialist" to do
this.

http://www.uscg.mil/hq/cg5/nvdc/

If you can't find your answers on this website, then it also has the
phone number. Use it.

I did use it. Took about 25 minutes to get through the robotic
obfiscation menu. Because it was foreign built they gave me the name
of a US Customs contact. After 4 phone messages he finally answered
the phone on day two. If I understood him correctly no foreign built
vessel may be USCG documented. There were other terms I couldn't
easily follow as their meanings seemed to change in the context of the
conversation. "US flagged", "CG endorsements". There were more but I
was too glazed to follow along by this time.
WA state has a "usage" fee for CG documented vessels, so you pay
twice. The fee is the same as the sales tax, which is prohibitive. You
are given some grace period for being in WA waters but no real means
of establishing when it starts.
I still don't know if I would have to pay CA sales tax in order to
transfer the title into my name.
Smooth sailing everyone.

The Documentation Center is an example of a Government run
organization doing everything RIGHT. They are very helpful, and
pleasant to deal with.



You understood incorrectly or he told you the wrong thing. You can get a
waiver for $500 (probably hasn't changed).

http://www.marad.dot.gov/ships_shipp...sel_Waiver.htm


Unless things have changed recently, that advice is bogus. I documented
two foreign built vessels (a used Nonsuch and a new PDQ) and never
needed a waiver, nor do I remember a large fee. Waivers are needed for
commercial uses; if your intended use is recreational, the process
should be easy.
As for sales tax, although some states don't require registration of
documented vessels, most require that the sales tax (or equivalent) be
paid. As some states will require proof that it was paid in other
states if you stay for a few months, keep the receipt with the boat papers.
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Default Help buying a boat - WA res - CA sales tax? Foreign use,.. WTF

On Oct 2, 8:15*am, (Richard Casady) wrote:
On Thu, 01 Oct 2009 14:43:49 -0400, Wayne.B

wrote:
On Thu, 01 Oct 2009 14:11:01 -0400, wrote:


The Documentation Center is an example of a Government run
organization doing everything RIGHT. They are very helpful, and
pleasant to deal with.


That has been my experience also. *A doc agent makes the job easy and
painless but you definitely can do it yourself. * Your biggest
challenge is probably going to be dealing with CA sales tax issues.
Every state is different but there is probably a way for you to take
delivery of the boat in Mexico (or elsewhere) and avoid taxation if
you plan things out carefully. *You may also find that you can take
delivery in CA if you leave within a certain time.


I have heard of delivery on the high seas.

Casady


In 1993 I took delivery of a 31' Dufour 3+ miles outside of San
Francisco so I would not have to pay sales tax to the state of
california. I seem to remember that since then they have loosened
their requirements slightly so if you leave the state within so many
days you pay no sales tax but I am not sure. Check with California
authorities before taking delivery. The tax is still in effect if the
boat is US documented or not!
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Default Help buying a boat - WA res - CA sales tax? Foreign use,.. WTF

wrote in message
...
On Thu, 01 Oct 2009 22:53:18 -0700, ray lunder
wrote:

On Thu, 1 Oct 2009 17:25:46 -0700, "Capt. JG"
wrote:

"ray lunder" wrote in message
...
On Thu, 01 Oct 2009 14:11:01 -0400, wrote:

On Thu, 01 Oct 2009 10:55:25 -0700, ray lunder
wrote:

Ahoy, I'm looking at a presently CA registered sailboat. It's 33', not
sure of displacement but it's a steel sloop so heavy. It's not USCG
documented but I think I want it to be. My residence is in WA state. I
hope to leave the boat in Mexico on the 10 year permit and not use it
in the USA at all. Well, maybe in San Diego for repairs or something
but mostly Mex and beyond until I run out of money or my yardarm falls
off.
Also, it was foreign built. I assume the Import extravaganza has
already been addressed when it became a CA registered vessel. Is this
circumstance treated differently when it becomes CG documented? I'd
appreciate any advice from people who've navigated this sticky, wreck
strewn reef before. Hoping to solve this without an attorney/marine
doc specialist.
Thanks as always for your time, ray.

You absolutely do not need an attorney or a "doc specialist" to do
this.

http://www.uscg.mil/hq/cg5/nvdc/

If you can't find your answers on this website, then it also has the
phone number. Use it.

I did use it. Took about 25 minutes to get through the robotic
obfiscation menu. Because it was foreign built they gave me the name
of a US Customs contact. After 4 phone messages he finally answered
the phone on day two. If I understood him correctly no foreign built
vessel may be USCG documented. There were other terms I couldn't
easily follow as their meanings seemed to change in the context of the
conversation. "US flagged", "CG endorsements". There were more but I
was too glazed to follow along by this time.
WA state has a "usage" fee for CG documented vessels, so you pay
twice. The fee is the same as the sales tax, which is prohibitive. You
are given some grace period for being in WA waters but no real means
of establishing when it starts.
I still don't know if I would have to pay CA sales tax in order to
transfer the title into my name.
Smooth sailing everyone.


The Documentation Center is an example of a Government run
organization doing everything RIGHT. They are very helpful, and
pleasant to deal with.



You understood incorrectly or he told you the wrong thing. You can get a
waiver for $500 (probably hasn't changed).

http://www.marad.dot.gov/ships_shipp...sel_Waiver.htm


The waiver is for vessels in commercial use. I assume my endorsement
would be for recreational use. (I'm not a company, just a would be
sailor).


No waiver needed at all. That information is on the website of the
Documentation Center. I just looked to double check. As I said
originally, the Documentation has it's act VERY together.

CG-1261: Builder's Certification & First Transfer of Title (REV.2/92)
For INITIAL DOCUMENTATION ONLY. Must be completed by BUILDER of the
vessel. If more than one builder, each one must complete a form.
Evidence of U.S. build is required for all Fishery and Coastwise
vessels.

Honestly, if you don't approach this as a hassle, it won't be. The
most complicated thing about documenting a boat is the measuring.
That's not so hard, either, if you approach it methodically.


Yup.. Salty's right. I looked into it when I was contemplating using a
foreign hull for my lessons/charters.

Sorry for the confusion Ray.
--
"j" ganz @@
www.sailnow.com



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