LA County boat taxes - how determined?
sailor
I brought my boat down from Pacific NW in August - it's documented to a
Portland, OR hailing port with an Orange County, CA mailing address.
I want to be in the marina in LA until Feb when I take it to Mexico.
Steve
My understanding is that the marina managers have to turn in a list of all
the boats moored at their facility on or about the 1st of March. This is
coordinated by the state and then each county tax assessor is given the
vessel owner and address so they can send out the tax bills and collect
their tax. (take a couple years for a documented vessel, but eventually
they will catch up with you.)
I purchased a boat in LA county but was moving it to San Diego. It was still
in LA Co. on the 1st of March but I got a bill from SD Co. because I moved
it to SD during the month of march. I complained and SD referred the matter
to LA and I ended up paying the first years taxes to LA Co.
It doesn't matter if your vessel is documented in another state or city, the
tax is due in the county that it is located in on the tax cut off date.. It
is very difficult to get out of it and even if you sail off into Mexico
before the tax bill comes (and it will come eventually, takes longer for
documented vessels). If you have exceeded the 30, 60, or 90 day (what ever
it is now for Calif.), then you will eventually have to pay the property tax
on the boat. If you don't they will slap a lein against your vessel. That's
one of the disadvantages of a documented vessel-- the lein follows the
vessel documentation no matter what state you go to. You will have to settle
your tax lein account before you can, properly, sell your vessel.
My advice. Don't exceed the transit period and save your reciepts or exit or
entry documentation from Mexico to prove where the vessel actually is on the
1st of March or to prove you didn't over stay your transit period.
--
My opinion and experience. FWIW
Steve
S/V Good Intentions
Dave Witte
sailor <FA...@msn.com> wrote in message news:3DCEBBEE...@msn.com...
January 1st. If your boat is in California on Jan. 1st, regardless of where
it is documented, you owe the personal property tax (~1.9%) and it is not
pro-rated. The reason people move them down to Mexico after purchase is to
avoid paying use tax (fancy name for sales tax, still ~8%) There are a
bunch of rules to use this exemption and the essence of the rule is that no
California use tax is due on purchases made outside of the state for use
outside of the state. An arbitrary period of 90 days is how long it must be
used out of state before being brought back in.
Blue Skies,
Dave
Steve
the appropriate California authority in Sacramento. You should do this well
in advance so you will know what the "Key" month/date is.
I know in 1989 it was the 1st of March, but it could have changed.
This question was raised a year of more ago and someone gave the address or
phone number for the agency in Sacramento to contact. Do a Google search on
these NGs and see if it comes up.
If your boat is worth a lot of money (to you), then a 1.9% tax bill could
sure deplete you cruising kitty. It's well worth the trouble to make some
calls, get something in writing before you establish your cruising
itinerary.
Don't try to play 'cat and mouse' with the Calif. tax collectors. They have
been playing this game with transit cruisers for many, many years. The
generally know how to tack that lien on you boat title of documentation.
And do not totally rely on the advice you get here. Sift it for addresses
and phone numbers, then contact the official who you can refer to if there
ever is a problem.
If you wait until after the magic date, then your screwed and will have to
pay since they aren't going to except a excuse about the information you go
from here or some other Sea Lawyer.
AB
Here in Pa you pay a sales tax on new boats, but never heard of a boat tax.
Anthony
"Steve" <est...@hctc.com> wrote in message
news:ut0gpt8...@corp.supernews.com...
Steve
State, sometimes you pay a "Use Tax ", another time they may call it an
"Excise Tax" and just about everytime they will put something into the
"Other" catagory, even if the boat is documented.
All these tax "shell games" is due to some voter intiatives that limit the
taxes and fees on vehicle registration.
I wouldn't mind too much if the money went into boating and state park
facilities, but it ends up in the general fund and is wasted on programs
that aren't even related to boating.
Right now I have a documented vessel and I still have to pay a total of
$96.50 for this year. Of course while I was in Calif. I had a documented
vessel (worth about $50,000 and I paid about $350 a year in property tax on
it.
If your only paying the sales tax and an annual state registration fee, then
consider yourself lucky, but be careful about leaving your boat in another
state for longer than the 'transit period'.
AB
"Steve" <est...@hctc.com> wrote in message
news:ut31esm...@corp.supernews.com...
Steve
Ah! but we don't have any income tax in WA. Not that it means anything to
someone retired and living on SS and military retirement.
Steve
George Jefferson
PA will get you for the 6% up front no matter what though, even if
you bought it and paid tax in some other state 20 year ago they
will hit you up again.
sailor
Assessor answer.
LA County (like all CA counties) assess Personal Property Tax (as opposed to
Real Property - real estate) on boats, planes, etc - same rate as real prop
tax. Personal Property taxes are personal - the debt does not and cannot
become a maritime lien against the boat. If you don't pay your taxes - you'll
get a baddie on your TRW or whatever personal credit report - but, in fact,
this is meaningless according to another yachtie who had this happen. It goes
away after 7 years and they can't seize and sell anything, anymore than Sears
can - so they can't "tack that lien on you boat title of documentation" as
someone said.
The Tax Lien Date (official date when you accrue the debt) is Jan 1 and always
has been. CA marinas give the list of owner/occupants (names, addresses, etc)
to the Assessor as of Jan 1. If you're not in a marina on Jan 1 - you're not
on the list. For private/rented slips like Newport Beach, Alamitos Bay, etc.
somebody must walk around - I don't know, didn't ask, doesn't apply to me.
The official owner as of Jan 1 is the official debtor - you sell the boat Jan
10 before the tax bills are out and you still owe it ALL - unless you prorated
the taxes in the sales deal.
The bottom line is - as a cruiser passing through - the Assessor says - make
sure the marina has you marked as a "Transient Vessel" if you're in a marina on
Jan 1 and you'll have no problems.