In the US, you can go boating on a lot of lakes, bays, and shorelines. It might be obvious to take your vessel to the wild places to enjoy them. If, however, you purchased your yacht somewhere other than the US, you will have to deal with customs and perhaps even pay import taxes.
Are you willing to sail your own boat in American seas and step outside your comfort zone?
With the help of vehicle shipping firms in New York, getting from wanting to buy a yacht to actually doing so isn’t as difficult as you would think.
Whether you’re transporting a boat from abroad or relocating it within the US, a few simple procedures can ensure that it travels safely and legally. What should you keep at heart when using a car shipping company in New York to bring a boat into the United States from abroad?
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Importing a Boat for Personal Use into the US
You need two papers with you in order to import a boat into the US for personal use, including:
- Ownership documentation, such as a bill of sale
- Evidence that the boat complies with Environmental Protection Agency (EPA)
To prove that your boat conforms with EPA rules, you must submit Engine Declaration Form (https://www.epa.gov/importing-vehicles-and-engines/epa-standard-form-3520-21-importation-engines-vehicles-and-equipment) 3520-21. If you’re importing your boat from Canada (and if you bought it from a Canadian manufacturer), the emissions restrictions that apply to it are probably similar to those demanded by the EPA.
Regardless, you need to complete the Engine Declaration Form unless your car has an EPA emissions compliance badge. The US representative of the boat manufacturer may instead provide you with a letter of compliance.
How much is the boat import duty?
When imported into the US, the majority of leisure boats are subject to import tax. Customs and
Border Protection (CBP) reports that the following duty rates are now in effect for boats:
- Boats with sails and motors besides outboard motors: 1.5%
- Boats with outboard motors: 1%
- Vacuum-filled vessels: 2.4%
- Canoes: not required
- Rowboats and other boats not intended to be used with engines or sails: 2.7% Import duty rates are always subject to change. The Harmonized Tariff Schedule of the United
- States (HTS), Chapter 89, contains the most current import tariff percentages on boats.
Are boats subject to any additional taxes?
Your sole US federal tax obligation in exchange for importing your boat will be to pay one of the tariff rates indicated above. Only when purchasing a boat are sales tax, GST/HST/PST, and other taxes applicable. If you buy a boat in Canada, you must pay the necessary GST.
While crossing the border into the US, you are not obligated to pay the US sales tax. However, bear in mind that several US states and territories tax boats as personal property. Since there is no federal sales tax in the US and only state sales taxes exist, you must pay the state sales tax if you purchase a boat there.
Procedures for entering a country by boat
The following requirements must be completed in order for pleasure boats (non-commercial vessels) to be admitted to the US upon arrival in any port or location inside the country:
It could be a ship from a far-off place, a foreign ship that arrived in a US port, or a US ship delivering commodities from other nations for which entry has not yet been authorized.
Under certain circumstances, the vessel’s master must immediately notify the closest CBP facility upon their arrival. You can report through phone, through the CBP ROAM app, or in person at the nearby Port of Entry, among other options. You have 48 hours to finish and submit Form 1300 if CBP suggests formal admission for you.
Purchase of a boat for utilization in the US while not a citizen
If you don’t have US citizenship and fly to the country to purchase a boat, your vessel will be considered unregistered as soon as the transaction is complete. To move the boat from the port it is currently in, you must file Form 1300 to CBP.
If a boat satisfies certain criteria, such as being a recreational vessel older than 30 years and having a fair market value of under $250,000, duty fee exemptions may be available. Additionally, there are exemptions for boats that are temporarily imported into the nation for events like boat shows or competitions.
Importing a boat into the US is not as difficult as you may think, but there are still a few considerations. The vessel must first be examined to verify if it meets the import requirements of the U.S. Coast Guard.
After that is decided, selecting a customs broker that can help with all the paperwork and ensure that everything is done correctly follows next. To avoid penalties or delays, it’s crucial to regularly monitor deadlines throughout the process. It might be straightforward to import a boat into the US if you follow these simple criteria.