Hi All,
I am in the process of selling my Mac26C. The new owner is planning to take it to Spain. If he can't prove that VAT has been paid on the boat, they will charge VAT again. When I bought the boat from the previous owner (who wasn't the original purchaser) I got a Bill of Sale, but no VAT invoice. Would any of you be able to prove that VAT has been paid on your boat? i.e do you have the original Bill of Sale?
Graeme Smith
Menelik
The original bill of sale showing the VAT paid is the best form of proof. HMRC are happy however to discuss other forms of proof if this is not available. Depending on the age of the vessel proof may not be required. Vessels imported into the EC prior to the 1st Jan 1985 and still in the EC on that date qualify for transitional relief and no VAT is payable. If you have other documents that date the vessels history HMRC may consider these in their consideration of offering you a derogation from any new payment of VAT.
Technically you do need proof of VAT even when in UK waters as you could be asked for this at any time. Boats that are purchased through brokers will generally have the original bill of sale - boats from ebay likely won't.
If for some reason HMRC do not agree to a derogation VAT is only payable on the current value of the vessel.
Hope this is of some help.
Colin,
Thanks for the information. In my case, the new owner wants to import the boat into Spain. Do you think a derogation of VAT from HMRC would be acceptable to the Spanish?
My boat was manufactured in 1991, and I don't even know who the importer of Macs was in those days, so getting a copy of the original bill of sale seems unlikely. I wonder if there are any Mac 26C owners out there who would know? or could email me a scanned copy of one, so I could see what it looks like?
Graeme Smith
Grahame,
I suggest that you have a look at the HMRC website for guidance. In my own experience of importing a boat from outside the EU I found them to be quite helpful. In my situation I dod not have to pay the VAT as I could show that I was moving to the UK from outside the EU on a permanant basis so I got a letter from them confirming the boat as a personal import. When I sold the boat the new owner was quite happy with this and it should pass muster if he takes the boat abroad for a visit. The RYA however have raised the issue that other member states may not take the same view if personal imports are then subsequently exported at some point. I am not sure if this however helps you except that I think it is worth having a conversation with HMRC as I found them to be really helpful in advising me of the correct procedure. If you have an alternative log of other paperwork they may look kindly on this.
Colin,
Thanks very much for the advice. I've looked at the HMRC website and will contact them to see if they can help
Graeme