# Sticky  GREAT article on used boat sales tax and Florida DMV



## iMacattack

Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!









FL Sales Tax vs DMV - Boat with Outboard Motor


As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...



www.floridasalestax.com





Cheers
Capt. Jan


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## Salt

I dealt with the registration / tax issue recently in FL and it can be a pain. Boats purchased from an individual should be taxed on the hull only if the hull is itemized on the invoice/bill of sale. However if you purchase a used boat from an individual, even if on consignment through a dealer, and the itemized invoice/BOS includes other items (outboard, trailer, etc.) then the FL tax collector’s agent will likely apply tax to the entire invoice, which is incorrect. The DMV agent’s instructions (in their software) may also read differently than the actual statute so be prepared to respectfully discuss. Important tip: FL statute requires a signed BOS, it does not require the BOS to be notarized for it to be valid.

My advice is to get a signed bill of sale for the hull only. If your purchase includes other items, have a separate BOS for those items. If you buy on consignment through a dealer, have the purchase terms include a BOS executed directly between you and the actual seller for the hull only. If in a no-title state like GA with the intent to register in FL, have a separate BOS executed for non-titled items like the trailer along with their current proof of registration. FL DMV will need the seller’s current registration to connect ownership of the non-titled items to you. I would also have the FL statutes printed out and on hand to respectfully help clarify what the law actually says to the DMV agent (Yes I had to do this and yes it can make all the difference).

I purchased a pre-owned boat on consignment in GA. I received an itemized invoice from the dealer that included all items in the purchase. I went to three different FL tax collector offices - The first two applied tax to the entire invoice amount. Their position was:

BOS was the invoice on dealer’s letterhead, signed only by the dealer - no proof of sale from the individual seller to me, and no proof the dealer was authorized to facilitate the consignment sale o/b/o the seller
The itemized invoice contained other items than the hull so they believed tax was due on the entire purchase amount
The third FL DMV office I visited correctly applied the tax. I would have saved a lot a time and effort with an executed BOS for the hull only between me and the actual seller, and not the dealer who was only taking a consignment fee. Hope this helps.


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## fishnpreacher

Georgia doesn't execute a sales tax on sales from an individual. I'm not sure how "new" sales are taxed. Taxes on a boat are collected yearly as a part of your property tax, and county tax assessors assign an amount for the tax. The county is notified by the state when a boat is registered, and that boat stays on your property tax until you notify the county tax office that you no longer own that boat. The notification from state to county has all the information for the county assessors to make a "reasonable assessment" of the boat, motor and accessories. 
The trailer is taxed when you purchase a tag for it. I'm not sure how the trailer value is assessed or if it a flat tax for trailers vs campers vs enclosed trailers. Some of these trailers out there today are worth more than my whole outfit.


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## CKEAT

fishnpreacher said:


> Georgia doesn't execute a sales tax on sales from an individual. I'm not sure how "new" sales are taxed. Taxes on a boat are collected yearly as a part of your property tax, and county tax assessors assign an amount for the tax. The county is notified by the state when a boat is registered, and that boat stays on your property tax until you notify the county tax office that you no longer own that boat. The notification from state to county has all the information for the county assessors to make a "reasonable assessment" of the boat, motor and accessories.
> The trailer is taxed when you purchase a tag for it. I'm not sure how the trailer value is assessed or if it a flat tax for trailers vs campers vs enclosed trailers. Some of these trailers out there today are worth more than my whole outfit.


You pay annual taxes on boats? That sounds like something California would impart on it’s citizens.


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## fishnpreacher

The last I checked, boats were considered property and included on property taxes. The same is true of farm equipment. Tractors, motorized equipment are/were taxed annually. I'll recheck and make sure.

From Ga's County Property Tax Facts
The county board of tax assessors must send an annual notice of assessment which gives the taxpayer information on filing a property tax appeal on real property (such as land and buildings affixed to the land). If the county board of tax assessors disagrees with the taxpayer’s return on personal property (such as airplanes, boats or business equipment and inventory), 

So boats, airplanes, business equipment are taxed annually as personal property. Another article I read stated this, as of Aug, 2019

Boats and watercrafts should be registered for vessel registration with the Georgia Department of Natural Resources and should register for property tax with the County Tax Assessor’s Office.


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## Monty

Salt said:


> I dealt with the registration / tax issue recently in FL and it can be a pain. Boats purchased from an individual should be taxed on the hull only if the hull is itemized on the invoice/bill of sale. However if you purchase a used boat from an individual, even if on consignment through a dealer, and the itemized invoice/BOS includes other items (outboard, trailer, etc.) then the FL tax collector’s agent will likely apply tax to the entire invoice, which is incorrect. The DMV agent’s instructions (in their software) may also read differently than the actual statute so be prepared to respectfully discuss. Important tip: FL statute requires a signed BOS, it does not require the BOS to be notarized for it to be valid.
> 
> My advice is to get a signed bill of sale for the hull only. If your purchase includes other items, have a separate BOS for those items. If you buy on consignment through a dealer, have the purchase terms include a BOS executed directly between you and the actual seller for the hull only. If in a no-title state like GA with the intent to register in FL, have a separate BOS executed for non-titled items like the trailer along with their current proof of registration. FL DMV will need the seller’s current registration to connect ownership of the non-titled items to you. I would also have the FL statutes printed out and on hand to respectfully help clarify what the law actually says to the DMV agent (Yes I had to do this and yes it can make all the difference).
> 
> I purchased a pre-owned boat on consignment in GA. I received an itemized invoice from the dealer that included all items in the purchase. I went to three different FL tax collector offices - The first two applied tax to the entire invoice amount. Their position was:
> 
> BOS was the invoice on dealer’s letterhead, signed only by the dealer - no proof of sale from the individual seller to me, and no proof the dealer was authorized to facilitate the consignment sale o/b/o the seller
> The itemized invoice contained other items than the hull so they believed tax was due on the entire purchase amount
> The third FL DMV office I visited correctly applied the tax. I would have saved a lot a time and effort with an executed BOS for the hull only between me and the actual seller, and not the dealer who was only taking a consignment fee. Hope this helps.


10-4. The DMV will tax the full amount. Technically, the tax should only be on the hull -- not the motor, not the trailer or any of the "extras." I bought my recently and was lucky because it was from an individual who let me create a bill of sale for each major item. It saved me hundreds of $$$. And its not being shady.


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## SomaliPirate

CKEAT said:


> You pay annual taxes on boats? That sounds like something California would impart on it’s citizens.


They do an annual tax on your primary vehicle too, based on it's value. No wonder everybody in Savannah drove a POS.


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## CKEAT

Good way to have folks bail from your state like Californians are piling into Texas. It’s simply wonderful 🤣


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## fishnpreacher

SomaliPirate said:


> They do an annual tax on your primary vehicle too, based on it's value. No wonder everybody in Savannah drove a POS.


This was the case, but is being phased out. New vehicle taxes are handled through the dealer, and used vehicle sales are one time taxed when the first tag is purchased. Vehicles that were purchased before a certain date are still being assessed an ad valorem tax yearly when tags are updated. Trailers are taxed the same way. Ga taxes are screwed up.


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## Rollbar

SomaliPirate said:


> They do an annual tax on your primary vehicle too, based on it's value.


They do the same in Nevada.
In Nv, the taxes are based on the original value of the car.


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## Monty

CKEAT said:


> Good way to have folks bail from your state like Californians are piling into Texas. It’s simply wonderful 🤣


I bet. Like us in Florida have certain people come here and make comments, Like "I hate grits, why do you people eat grits" and "You people talk funny" or "Our schools were such better that yours (then their flunks out)." Yes we just love having them.


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## SomaliPirate

fishnpreacher said:


> This was the case, but is being phased out. New vehicle taxes are handled through the dealer, and used vehicle sales are one time taxed when the first tag is purchased. Vehicles that were purchased before a certain date are still being assessed an ad valorem tax yearly when tags are updated. Trailers are taxed the same way. Ga taxes are screwed up.


Nice! I've been away too long.


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## noeettica

I payed kids to dump leaves into a boat and throw buckets of mud on it ... 

Then I payed them to clean it LOL ...


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## Rick hambric

CKEAT said:


> You pay annual taxes on boats? That sounds like something California would impart on it’s citizens.


It sux. One more reason I want to move to Florida.


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## Lkillinger

iMacattack said:


> Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!
> 
> 
> 
> 
> 
> 
> 
> 
> 
> FL Sales Tax vs DMV - Boat with Outboard Motor
> 
> 
> As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...
> 
> 
> 
> www.floridasalestax.com
> 
> 
> 
> 
> 
> Cheers
> Capt. Jan


Very good info and thread. Thanks.


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## cmtelhiard

Lkillinger said:


> Very good info and thread. Thanks.


Very Clear and concise


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## Bradfew1

Thanks for posting.


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## kwood

Good info thanks for posting


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## JeremyCMasters

Very useful information.


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## JFScotty

Nice


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## FlaglerFish

Spot on advice, I had my BOS itemized and didnt even ask for the tax on the boat only.
The tag office calculated it on the hull number and was a super smooth experience!


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## Jeremy G.

JFScotty said:


> Nice


Good information to know as I am looking to purchase a small boat or shall I say Microskiff.


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## Willarci3

Anybody have similar information for TX? Found the buy/sell process pretty burdensome when I bought my skiff last go around


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## Tarpon_Fever

iMacattack said:


> Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!
> 
> 
> 
> 
> 
> 
> 
> 
> 
> FL Sales Tax vs DMV - Boat with Outboard Motor
> 
> 
> As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...
> 
> 
> 
> www.floridasalestax.com
> 
> 
> 
> 
> 
> Cheers
> Capt. Jan


Capt. Thanks for the info. Much appreciated


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## mfoster91

Awesome thanks man!


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## smitty

iMacattack said:


> Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!
> 
> 
> 
> 
> 
> 
> 
> 
> 
> FL Sales Tax vs DMV - Boat with Outboard Motor
> 
> 
> As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...
> 
> 
> 
> www.floridasalestax.com
> 
> 
> 
> 
> 
> Cheers
> Capt. Jan


awesome


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## Plumb Crazy

Capt. Jan - Thank you for posting this. It is required reading for everyone who is purchasing used in FL.


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## jaydennegron

fishnpreacher said:


> Georgia doesn't execute a sales tax on sales from an individual. I'm not sure how "new" sales are taxed. Taxes on a boat are collected yearly as a part of your property tax, and county tax assessors assign an amount for the tax. The county is notified by the state when a boat is registered, and that boat stays on your property tax until you notify the county tax office that you no longer own that boat. The notification from state to county has all the information for the county assessors to make a "reasonable assessment" of the boat, motor and accessories.
> The trailer is taxed when you purchase a tag for it. I'm not sure how the trailer value is assessed or if it a flat tax for trailers vs campers vs enclosed trailers. Some of these trailers out there today are worth more than my whole outfit.


didn’t even know that was a thing


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## Dane

iMacattack said:


> Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!
> 
> 
> 
> 
> 
> 
> 
> 
> 
> FL Sales Tax vs DMV - Boat with Outboard Motor
> 
> 
> As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...
> 
> 
> 
> www.floridasalestax.com
> 
> 
> 
> 
> 
> Cheers
> Capt. Jan


Very interesting read. Thanks


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## idlerick5

Salt said:


> I dealt with the registration / tax issue recently in FL and it can be a pain. Boats purchased from an individual should be taxed on the hull only if the hull is itemized on the invoice/bill of sale. However if you purchase a used boat from an individual, even if on consignment through a dealer, and the itemized invoice/BOS includes other items (outboard, trailer, etc.) then the FL tax collector’s agent will likely apply tax to the entire invoice, which is incorrect. The DMV agent’s instructions (in their software) may also read differently than the actual statute so be prepared to respectfully discuss. Important tip: FL statute requires a signed BOS, it does not require the BOS to be notarized for it to be valid.
> 
> My advice is to get a signed bill of sale for the hull only. If your purchase includes other items, have a separate BOS for those items. If you buy on consignment through a dealer, have the purchase terms include a BOS executed directly between you and the actual seller for the hull only. If in a no-title state like GA with the intent to register in FL, have a separate BOS executed for non-titled items like the trailer along with their current proof of registration. FL DMV will need the seller’s current registration to connect ownership of the non-titled items to you. I would also have the FL statutes printed out and on hand to respectfully help clarify what the law actually says to the DMV agent (Yes I had to do this and yes it can make all the difference).
> 
> I purchased a pre-owned boat on consignment in GA. I received an itemized invoice from the dealer that included all items in the purchase. I went to three different FL tax collector offices - The first two applied tax to the entire invoice amount. Their position was:
> 
> BOS was the invoice on dealer’s letterhead, signed only by the dealer - no proof of sale from the individual seller to me, and no proof the dealer was authorized to facilitate the consignment sale o/b/o the seller
> The itemized invoice contained other items than the hull so they believed tax was due on the entire purchase amount
> The third FL DMV office I visited correctly applied the tax. I would have saved a lot a time and effort with an executed BOS for the hull only between me and the actual seller, and not the dealer who was only taking a consignment fee. Hope this helps.


Good info. Thanks.


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## lowcountryreds

Very informative, thank you for posting


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## eeu

Thank you for the info, do you know if any new legislation has changed in 2021 or scheduled to change in 2022?


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## Aitkenb1z

Thanks. I assume this applies to used cars as well: floor liners, roof racks, bed liners, spare tire, etc. aren’t part of the “car/truck” I’m my view…


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## Sailfish_WC

The last couple used vessel purchases I had at DMV in Florida went something like this:

DMV: how much did you pay for the boat
Me: $600
DMV: ok

Never been asked for a bill of sale on a used vessel. Yet.


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## Tarpontamer69

Pretty good read


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## dannybgood710

I like it


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## dannybgood710

Thanks for sharing this


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## dannybgood710

Very interesting. Thanks for the read


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## mjrsierra

Good info!!


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## finnish lines

Thank you for posting. I am getting close to getting a boat and this will come in extremely handy when it comes to re-titling my new ride. thank you


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## Alextway16

iMacattack said:


> Found this link on The Hull Truth. Thought it could benefit members on this site. Really good read!
> 
> 
> 
> 
> 
> 
> 
> 
> 
> FL Sales Tax vs DMV - Boat with Outboard Motor
> 
> 
> As a firm that deals with Florida sales and use tax controversy almost every day of the week, it is not too often that we bump into FL sales and use tax issues that we have not already dealt with. So when we get a call from a taxpayer that has novel issue, we tend to get a little excited. Just...
> 
> 
> 
> www.floridasalestax.com
> 
> 
> 
> 
> 
> Cheers
> Capt. Jan


Thanks I’ve been wondering how it works for when I buy my first boat


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## Andy jones

fishnpreacher said:


> Georgia doesn't execute a sales tax on sales from an individual. I'm not sure how "new" sales are taxed. Taxes on a boat are collected yearly as a part of your property tax, and county tax assessors assign an amount for the tax. The county is notified by the state when a boat is registered, and that boat stays on your property tax until you notify the county tax office that you no longer own that boat. The notification from state to county has all the information for the county assessors to make a "reasonable assessment" of the boat, motor and accessories.
> The trailer is taxed when you purchase a tag for it. I'm not sure how the trailer value is assessed or if it a flat tax for trailers vs campers vs enclosed trailers. Some of these trailers out there today are worth more than my whole outfit.



Sure appreciate the info!


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## lipripper

I'm a Florida resident. Thanks for the info.


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## Delek

Thanks


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## TunnelMasterBoats

Awesome Info!! Our local DMV is good for a solid hour and a half wait - idea of going to multiples makes me cringe -


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