After the sales tax cap proposal for boats and yachts was passed last summer in Tallahassee, brokers have seen considerable benefits and increases in sales in the industry. The bill was difficult for lawmakers to swallow because of the economic climate and the state having to cut budgets in other, more important areas. However, the incentive paid off and the sales tax cap has generated more revenue for boat and yacht sales, in turn creating revenue for the state. The bill caps sales tax on pricey boats at $18,000 and makes purchasing such vessels and registering them in Florida much more attractive. Before the cap, most were dodging the tax by registering boats in foreign countries, or taking their boats to other states shortly after purchase. This bill creates a better atmosphere all around for the yachting community to spend more freely, hire domestic crews, and wave an American flag.
Brad Nelson from Atlantic Yacht and Ship was quoted in the Triton newspaper regarding the change for crews and captains, “US captains used to be a valuable commodity but now there are many out of work, and that will change.” In general, American customers will be more comfortable and confident in their decision to buy and store their vessels in-state, creating more jobs for domestic captains and crews. Residents from other states and those visiting from outside the country will also feel at ease staying in Florida longer, which will undoubtedly give the local economy a boost. The bill is good news for everyone involved, boosting revenue for Florida yacht brokers as well as generating dollars for the state and local economy.
Atlantic Yacht and Ship has been proud to call South Florida home for over 50 years. We recently participated in the Miami International Boat Show, and enjoyed assisting buyers in their search for the perfect vessel. We offer nearly every make, and have plenty of new and used boats for sale. For more information or to speak to a representative, call us today at 1-888-230-0439.