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The advice given on this site is based upon individual or quoted experience, yours may differ.
The Officers, Staff and members of this site only provide information based upon the concept that anyone utilizing this information does so at their own risk and holds harmless all contributors to this site.
Does anyone know the particulars of Off-Shore Delivery.I have a tentative agreement to buy a C250 in Washington. I want to buy it and bring it up to Canada. I've heard from Brokers that they deliver boats off-shore to avoid taxes.
Offshore delivery regulations vary wildly (in the US anyway) by state law.
Your situation will be determined by Canadian National and Provincial Law (assuming BC?). I think you'll have to contact a reputable Canadian broker or your taxation officials to find out the particulars.
Most offshore deliveries are used for bigger, more expensive boats where the bite of sales taxes (&etc) can get pretty substantial.
California had a 90 day offshore delivery window that allowed a boat to be purchased sales tax-free if it wasn't going to enter the state for 90 days. This led to a famous '90-day parking lot' in Ensenada Mexico where a lot of Southern California vessel title transfers would take place.
However, the state government has just closed that 'escape' clause. :>(
A boat sold in the US for export should not be charged sales tax. Unless Wash. has specific rules, I suspect it's a lot like other states. Seller will make you sign an affidavit stating you're taking her out of state. Any other state will not let you title unless you can prove you've paid, and if it's less than they would charge they often get the difference. I'm sure that Canada will also want you to pay something... Now, it is possible that if the boat reaches a certain age before entering, you can bring it into Canada as used vs new. (The old grey car trick) This might save duty and/or sales tax. In any case, I think an off shore delivery is not beneficial, plus you would need really nice weather for a 250, and a lot of styrofoam to float the trailer.....
Oscar C42 # 76 "Lady Kay" Ex skipper/owner of C250 WB #618
Oscar is probably right. When I bought my boat across the state line in GA I didn't have to pay any sales tax because GA has no sales tax, just income tax. But when I registered it here in FL I had to pay tax, unless I could show that I had already paid the tax, which I didn't.
As a general rule, when you buy something, you have to pay a <b>sales</b> tax to the state where the sale took place. If you don't intend to use the thing in that state, and you intend to remove it from that state within a month or so, then you are exempt from paying sales tax to that state, but you will be required to pay a <b>use</b> tax to the state (or foreign country) where you use the thing.
It is irrelevant whether the boat is delivered to the state of use by truck, or by sailing it there. You eventually will have to register the boat, and apply the registration numbers to its bow. When you register the boat in your home state, or other state where the boat will actually be used, they'll ask you for proof that the sales tax has been paid, and, if you don't have a receipt showing that the sales tax was paid, then you'll have to pay the use tax before you can register the boat.
Notice: The advice given on this site is based upon individual or quoted experience, yours may differ. The Officers, Staff and members of this site only provide information based upon the concept that anyone utilizing this information does so at their own risk and holds harmless all contributors to this site.