Petition launched over UK VAT payments
The Cruising Association (CA) is supporting a petition calling on the UK Government to rethink its decision to charge some boat owners a second UK VAT payment when returning their boat from the EU.
Currently, UK sailors whose boats have been in the UK under present ownership and were in the EU at the end of the Brexit transition period, and who are unable to meet the three-year condition of Returned Goods Relief (RGR), have until 30 June 2022 to bring their boats back to the UK from Europe to avoid a second UK VAT payment.
Boat owner Andrew Camper has now launched a petition (visit www. yachtingmonthly.com/petition) to lobby Parliament to change the rules.
He argues that British-registered vessels should keep their UK VAT paid status ‘indefinitely’.
‘It is most unfair to charge people like myself twice. Total injustice. Even the EU accepts the vessel is VAT paid, so why does the UK not?’ he asked.
The chair of the CA’S Regulations and Technical Services (RATS) group, Robin Baron, said the CA ‘supports anything that seeks to put pressure on HM Government to improve the VAT treatment of Uk-owned leisure vessels, including this petition.’
Confusion over the EU VAT status of second-hand boats following Brexit has led to the International Council of Marine Industry Associations, European Boating Industry, European Boating Association, British Marine and the RYA joining forces to provide clarification on how EU VAT should be applied. It has been validated by the EU Commission. Visit www.yachtingmonthly.com/brexit