CA Taxation

[geoffschultz]

I'm planning on shipping my boat to San Diego in October and then relaunching her in March to begin a trip S. I'm trying to decide what do do with her when I get her to CA: Store on the hard, launch and leave her in San Diego, or launch and move the boat to Ensenada.

A big part of this depends on how CA taxes boats. From what I understand, there's a good chance that I'd be hit with a property tax if I launched her and left her in a slip from October to March. What is the tax rate on a boat?

If she's on the hard for maintenance, do the same property taxes apply? I've heard varying answers.

Thanks, Geoff

P.S. I'm cruising in the Georgian Bay of Lake Huron right now and will be off-line for about a week, but I want to figure this out sooner than later.

 

[Steve Dion]

You tax bill would be about 1.25% +/- of the value (who knows how that is calculated). Why are you shipping her so early? Ensenada is supposed to have some good yards if you are looking to have work done.

Depending on where the boat is located, you may or may not escape the property tax. You should plan on getting taxed. I would guess that your boat is probably worth $100-125K, but the book value may be less than that.

 

[geoffschultz]

Thanks for the reply.

I'm shipping because I don't want to store the boat in Milwaukee for the winter and then ship during February...

 

[windward54]

The property tax is only assessed for boats that are in California as of January 1st. If you could wait until after that date, and left by March, there would be no tax bill.

 

[stephen Penny]

Geoff,

In California you will pay 1% of the boat's value + any local taxes. For example, I pay 1% of my ski boat's assessed value and it is stored in my garage. On the other hand I pay 1% of my sailboat's assessed value + additional local taxes for my sailboat that is berthed in a marina. Both are registered and the marina or yard may be under obligation to submit your boat's hull number to local taxation agency. That is how the local county found my sailboat and immediately sent me a tax bill. Check with the yard or marina to confirm whether they are under a legal obligation submit your hull number to the local county taxation agency. By the way if you keep it in salt water you will need regular hull cleaning and zinc inspection and replacement. Please check out the link below for more information.​

​

http://www.boe.ca.gov/proptaxes/pdf/pub29.pdf

 

[Rick D]

Ensenada

I'd tend to ship directly to Ensenada and launch and keep there. Check Baja Naval's website. If you do launch in CA, I'd be sure to keep all your records to show you did not stay in the state. For Mexico, you will need a temporary importation permit which is no big deal and good for, I think, ten years. You can talk to the guys at Baja Naval; they have all the particulars.

 

[geoffschultz]

I'd tend to ship directly to Ensenada and launch and keep there. Check Baja Naval's website. If you do launch in CA, I'd be sure to keep all your records to show you did not stay in the state. For Mexico, you will need a temporary importation permit which is no big deal and good for, I think, ten years. You can talk to the guys at Baja Naval; they have all the particulars.

I researched shipping the boat into Mexico, but I'd have to hand the boat off to a Mexican trucker on this side of the border. They wanted almost as much to haul it from AZ to Mexico as I'm paying for Milwaukee to San Diego and then I have to trust that they'll do a good job. No thanks! I've been down this route and decided to skip it.

-- Geoff

 

[sailaway78]

If it's not registered or documented

If it's not registered or documented in Cal. how will they know. And yes, I am suggesting that you avoid the taxes if possible. Do they actually look at each and every boat, or do they look at what is registered/documented in the state by computer.

 

[zeehag]

if your boat is not a kali boat you donot have to pay taxes on it--is a transient boat . you are not purchasing nor keeping it here in sin diego--should be no problem btw--my property taxes, coronado, on my boat are about 40 dollars per yr. i live aboard and get the credit for that. i am documented, residing in sin diego bay.
the yard in ensenada, baja naval, is competitive with north san diego bay yards, the most expensive i have ever found. i recommend going farther away from us borders for the good deals, and not in touristy areas.