GL: State Sales Tax on Boats

[Ralph Yost (home)]

It seems that at least once a year this sales tax discussion comes up on 
this list.
The reason you would not have to pay sales or use tax in one state is ONLY 
if that state has a "reciprocal agreement" with the other state, in which 
they recognize each other's tax. However, if the second state sales tax is 
higher (as in NJ) and you move the boat there, you would be legally 
responsible for the difference. The test of whether or not you are obliged 
to pay sales tax is usually the # of days the boat is in that state. 90 days 
is commonly used by many states. However, check each state's laws to be 
certain.

Note that some states that are geographically separated may be less likely 
to have a "reciprocal agreement" with the other state. If no "reciprocal 
agreement" exists, then guess what? You would be obliged to pay the full 
sales or use tax amount.

In NJ, ALL the taxes are higher, so its a no brainer here. NJ is a good 
place to LEAVE.

R.


----- Original Message ----- 
From: "Jim Healy" <gilwellbear at gmail.com>
To: <great-loop at lists.samurai.com>
Sent: Monday, March 02, 2009 7:54 AM
Subject: Re: GL: State Sales Tax on Boats


> Fred,
>
> I think what happens in NY is that there is no NY excise tax (sales tax) 
> on
> a "used" vehicle *if* you paid an excise tax in the state where you bought
> it.  I know that's the way it works for cars (unless it's changed to close
> their budget gap, 'o course!).  On two occasions, we moved back to NY from
> out of state.  Did not have to pay NY sales tax on cars purchased *and
> previously registered* in NJ or Indiana when we subsequently returned to 
> and
> registered them in NY.  NYS DMV did once want to see sales tax receipts,
> tho.
>
> Jim
>
> Peg and Jim Healy aboard Sanctuary,
> currently at Charlotte Harbor, Punta Gorda, FL
> AGLCA # 3767
> MTOA # 3436
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