Menu
Allianz and Afloat - Supporting Irish Boating

Ireland's sailing, boating & maritime magazine

In association with ISA Logo Irish Sailing

NI Boats May Head South for Winter in Bid to Secure VAT & Duty Status as Brexit Transition Ends

7th November 2020
The Brexit transition period is scheduled to end on 31 December 2020 The Brexit transition period is scheduled to end on 31 December 2020

Ireland could see an influx after Christmas of visiting boaters from Northern Ireland seeking to secure the VAT and duty status of their vessels as the Brexit transition period ends.

The suggestion comes after the UK’s Royal Yachting Association earlier this week welcomed “greater clarity” on the position of the customs status of boats from the European Commission.

As previously reported on Afloat.ie, British boaters resident in the UK and the EU alike have feared being left in limbo regarding the tax and duty status of their vessels — and facing hefty charges when selling on or even relocating across territories.

The situation could still see a depression of the used boat market in Great Britain as EU-based buyers may be dissuaded by significant import levies.

Addressing UK boaters’ concerns, Howard Pridding, the RYA’s director of external affairs, said: “The Commission is no longer saying that any boat lying in the UK at the end of the transition period will not be eligible for Returned Goods Relief (RGR) as the boat will not have been exported.

“Instead they have differentiated the advice based on where the boat is registered and where the owner is established.

“The Commission’s interpretation of the law provides important guidance, but the final decision on what actually happens when a boat is imported rests with the authorities in the country in which that import is taking place.”

Pridding also noted the European Commission has confirmed the RYA’s suspicions “that documentation (such as a T2L, customs opinion letter or other supporting documentation) issued by the UK before the end of the transition period will not be valid in the EU as of the end of the transition period.

“However, we would recommend that boat owners keep hold of such documents, as they may provide useful evidence of the boat’s history and could be helpful when dealing with customs authorities in the EU27 in the future,” he added.

Meanwhile, as talks continue, it’s also expected that UK boats in the EU will be given a year’s grace to return to Great Britain before losing their UK VAT-paid status.

The situation is less clear for boats currently lying in Northern Ireland, as the implementation of the Northern Ireland Protocol is still under negotiation.

Nevertheless, a source close to Afloat.ie has suggested Ireland might now “expect to see a lot of Northern Ireland boats” and even boats from Wales “come [to the Republic] after Christmas to be in the EU” and then return to Great Britain in the New Year in the hopes of retaining their current VAT and duty status.

MacDara Conroy

About The Author

MacDara Conroy

Email The Author

MacDara Conroy is a contributor covering all things on the water, from boating and wildlife to science and business

We've got a favour to ask

More people are reading Afloat.ie than ever thanks to the power of the internet but we're in stormy seas because advertising revenues across the media are falling fast. Unlike many news sites, we haven’t put up a paywall because we want to keep our marine journalism open.

Afloat.ie is Ireland's only full–time marine journalism team and it takes time, money and hard work to produce our content.

So you can see why we need to ask for your help.

If everyone chipped in, we can enhance our coverage and our future would be more secure. You can help us through a small donation. Thank you.

Direct Donation to Afloat button

Featured Sailing School

INSS sidebutton

Featured Clubs

dbsc mainbutton
Howth Yacht Club
Kinsale Yacht Club
National Yacht Club
Royal Cork Yacht Club
Royal Irish Yacht club
Royal Saint George Yacht Club

Featured Brokers

leinster sidebutton

Featured Webcams

Featured Car Brands

subaru sidebutton

Featured Associations

ISA sidebutton dob
ICRA
isora sidebutton

Featured Events 2021

vdlr21 sidebutton

Featured Sailmakers

northsails sidebutton
uksails sidebutton

quantum sidebutton

Featured Chandleries

CHMarine Afloat logo
osm sidebutton
https://afloat.ie/resources/marine-industry-news/viking-marine

Featured Marinas

dlmarina sidebutton

Featured Blogs

W M Nixon - Sailing on Saturday
podcast sidebutton
mansfield sidebutton
BSB sidebutton
sellingboat sidebutton

Please show your support for Afloat by donating