It only takes one short walk down the dock to notice that many of today's yachts are flagged in a variety of different jurisdictions. British Virgin Islands….. Cayman Islands……. St. Vincent and the Grenadines….. and of course, Marshall Islands.
What are the benefits of foreign flagging and incorporation? Many of today's more popular yacht registries offer many tax and legal advantages to yacht owners. Asset protection and liability can be greatly enhanced by flagging a vessel in a foreign jurisdiction. Sales tax, and its evil twin brother, use tax, can also be legally avoided in many instances. Foreign built vessels with duty and importation issues can also take advantage of foreign flagging. Lastly, there are many cruising options made available including the hiring of foreign crew aboard the vessel. Please call for free consultation regarding your questions with vessel documentation and registration, sales tax, use tax, duty, foreign incorporations and offshore closings.