Re: VAT status on a colvic yacht
- From: "Russell Cannell" <russell@xxxxxxxxxxxxxxxxxxxx>
- Date: Mon, 5 Feb 2007 20:12:18 -0000
"Martin" <me@xxxxxxxxxxxxxxx> wrote in message
If you have a brokers bill of sale (essentially a posh receipt)
showing the hull was a private purchase in the UK then the question of
VAT is a British Crown issue and not subject to the jurisdiction of
our partners in the the EU.
Not quite sure what this means...... So how would the yacht be
a completed vessel or as a yr 2000 bare hull moulding?
I think that the yacht would be valued as a yacht, the theory is if
you are not a VAT registered builder (and I presume you are not) you
show that you have paid VAT on the constituent parts (hence my comment
on retaining VAT receipts). But the Hull would constitute a
signifigant proportion of the final VAT value and a bill of sale would
show that the Hull had been a 'private purchase' within the UK. As a
'private purchase' it would not be subject to VATand any VAT owing
from the original construction (assumming it took place within the UK
and you bought it in the UK) would be the business of the UK
Keep in mind that the VAT value and the actual value are different
things, the VAT value is the sum of the VAT registered components plus
the VAT registered labour/services.
But of course the issue is convincing the local authorities in the
various EU states, perhaps evening classes to learn the Turkish (if
they ever join) and Dutch for 'bare hull' and 'boat jumble' ?.
The more receipts you keep, the clearer your trail is that you either
have paid VAT or that VAT is not owing.
ASs posted by Graham the RYA maybe able to help.
We will now have an RCD required discussion.
Thank you Martin for throwing that little ditty into the mire as if i didnt
have enough problems..!
Right.................. all i need now is a a visit from the boatyard HSE
bod and my day will be complete.