Boat Taxes and Customs Duties

Tax law and Customs duties are essential considerations when importing a vessel.

It is essential that you are aware of all of your tax and customs obligations from the outset when importing a vessel. Taxation and Customs law is complex and working out your obligations can be confusing. 

The process of importing a vessel needs to be well planned from the outset, before any purchase agreement is signed. This planning may be significant in being able to minimise your tax and customs duty obligations. Depending on where in the world you are expecting to import your boat tax and customs duty laws will vary. For example in Australia a law exists allowing vessels over 150 Gross Construction Tons in accordance with subsection 4(3) of the Bounty (Ships) Act 1989, to avoid certain customs tariffs. When applicable, to an import, this could mean significant savings for the owner.

As to Tax laws certain countries are aligned with each other in respect to trade concessions, such as Australia and America that allows for works done to a vessel in America to be considered in relation to importing to Australia. Whereas, works completed by their northern neighbour Canada, at this point in time, do not carry the same benefits. Understanding these differences highlights  the need to prepare. Good Maritime Tax legal advice can prepare the owner for any tax obligation .

Vaarzon-Morel Maritime Lawyers in depth knowledge and client focused approach helps you to minimise costs and ensure that you understand and comply with your obligations. We aim to simplify the process into plain English. Our in-depth knowledge of Taxation law and an experienced team are ready to provide you with the right advice .