VAT advice for yacht owners

RYA publish FAQ sheet for members to help smooth the waters

The British Royal Yachting Association has launched a brand new set of comprehensive questions and answers designed specifically to answer the most frequently asked VAT queries for yacht owners.

Ever asked yourself if the VAT requirements of your boat are the same in the EU as they are in the UK? Have you queried in what circumstances is UK VAT payable on a private pleasure vessel? Or does the thought of making sure you have all the right VAT paperwork fill you with dread?

For a number of years the RYA has been working hard putting pressure on the Government, through HM Revenue and Customs (HMRC) division to develop some much needed answers to a wide range of frequently asked questions (FAQs) on this complex area. These new FAQ’s represent the combined input from both HMRC and the RYA to provide a first port of call for RYA members with a VAT query.

Mandy Peters, RYA’s Legal Executive said: “Confusion has reigned for many years on the issue of VAT paid on private craft entering the EU and also on second hand and newly purchased craft within the EU.

“In the past it has been very difficult to gain any clarity on these matters from the Government, so these new FAQ’s, in consultation with HMRC, means we are finally able to give our members some comprehensive answers.”

The new VAT FAQ’s are available for RYA Members to download via the RYA website here. In just a few clicks you will get all the information you need to make informed decisions on VAT issues affecting your private recreational craft.

If you need any further information regarding your VAT query you can also contact the RYA Legal department on 0845 345 0373, or contact HMRC’s National Advice Service on 0845 723 1110. Advice is also available from the Marine Unit of Expertise, HMRC’s VAT notices and the RYA legal department’s VAT information leaflets.