Tax Paid?

[aimlesswanderer15]

Hi all,

 

I've seen a number of narrowboat for sale and they have been advertised as "tax paid".

 

What does this mean? Do you have to pay tax when you buy a narrowboat?

[Paul C]

Ignore it, pretty much all narrowboats will have tax - the VAT - already paid. Its more to do that apolloduck is a listing site for all boats, and larger ones can be zero-rated VAT or working ones could be +VAT on resale.

[Alan de Enfield]

Its a "European Rule" and relates to the introduction of the RCD (Recreational Craft Directive)

 

All boats must have a VAT (in a European country) paid cerificate before they can be sold (either as new or secondhand), unless it can be proven (mooring receipt, fuel receipt etc) that they were in an EU country on 1st jan 1985 in which case they are deemed 'VAT Paid' under the single market transitional arrangements.

 

I had to investigate this when I was looking at bringing in boats from the USA.

 

In reality it makes no difference and you would be very very unlucky to have to provide evidence that the VAT had been paid.

HMRC will pay more attention to 'Gin Palaces' at £1m that a £50k narrowboat.

[aimlesswanderer15]

Oh ok, that's cleared things up - thanks!

[Marjorie]

 

I had to investigate this when I was looking at bringing in boats from the USA.

 

Was that because there was a particular type of boat you wanted?

[Alan de Enfield]

 

Was that because there was a particular type of boat you wanted?

 

At the time we were on sea-going GRP boats and looking to go a bit 'up-market'. Boats over in the USA were (still are) about 50% of the UK prices and at the time the US$ was about 'two-to the pound'

 

However by the time we'd have paid £8,000 freight, VAT and £3000 to get the RCD - and possibly had to replace two huge caterpillar engines (as they were not EEC approved) it was about the same price as buying in the UK.

 

We ended up buying a UK boat, had a full survey and a week later we had to spend £20k on sorting out the problems not picked up by the Surveyor.

[junior]

Someone asks this question about once a month don't they? Perhaps this could be moved to FAQ's and linked to in future?

[aimlesswanderer15]

Sounds like a plan

[ditchcrawler]

Someone asks this question about once a month don't they? Perhaps this could be moved to FAQ's and linked to in future?

Do they? I hadn't noticed it before