The lawyers at Perry and Neblett handle matters involving sales and use tax matters on a daily basis. Resale certificates, charter companies, vessel acquisitions and yacht finance are all issues that require an intricate understanding of sales and use tax statutes. Is it possible to buy a boat tax-free? Yes, there are many tax exemptions available to vessel buyers.
Generally speaking, almost every state has a law that provides that each sale or rental of a yacht or vessel is taxable unless the transaction is specifically exempt. Use tax complements and is applied in the same manner as sales tax. The use tax rate and sales tax rate are the same, including discretionary sales surtax, if applicable. Use tax is due on yacht purchases made out of state and brought into Florida within 6 months of the purchase date. The "use" component of the sales and use tax provides uniform taxation on items that are purchased outside Florida but are used or stored in the state. If the item brought into Florida is subject to tax, a credit for lawfully imposed taxes paid to another state, a U.S. territory, or the District of Columbia is permitted. Credit is not given for taxes paid to another country. If you have a legal or tax question involving the acquisition and/or operation of vessels, please contact Jim Perry at the Maritime Law Offices of Perry and Neblett.