Importing Boat from US to Canada

Status
Not open for further replies.
B

Bill

We are seriously considering purchasing a Catalina 32 in the US. We live in Ontario and would be able to sail it across the boarder. There is a broker in the US but it is not a co-brokerage boat so we need to arrange everything as far as the Canadian Customs. Does anyone know what is involved? The broker tells us that all we need is the bill of sale, paper work that the boat is free of any liens, and the ownership signed over and we should be able to bring it into Canada. Please advise?
 
K

Ken "Dancin Bear"

I have done it

Hi Bill, In Nov. 2005 I hauled a Catalina 30 from Bellingham WA to Edmonton AB. I had to pay GST on the price I paid for the boat. I would assume that if you are going to moor the boat in Ontario that you will also have to pay PST but I don't know how or who you would pay PST to. When I crossed the border I had to show : 1. A bill of sale. 2. Copy of the advertisement for the boat. 3. Proof of payment. ie bank draft copy or copy of money transfer. I thought I was OK with just a bill of sale but the Canadian Customs people are looking to see that you really paid fair market value and are not trying to scam them out of GST monies. I did have a copy of the ad from Yacht world.com and was able to convince them that yes I did pay a little less than advertised price. Just like buying a used car or house. There are no import duties due to the free trade agreement with the US. They will calculate the GST payment and you can pay with certified chq (I think it is payable to the Receiver General of Canada. I had a cheque for what I thought was close and paid the balance on visa. (there is a 2500.00 Max limit on visa) You can check this out by calling Canadian Border services in your area. They also have all this on their website. After you are in Canada, you can register the vessel at Service Canada (the new name for the federales). I received a number for my boat and another for my dinghy. This was the best deal as it is free. Make several copies of the GST receipt and keep one plasticized copy on the boat and the original at home. I have had experience with Canadian customs hassling me for GST payment in the past and it is not nice. That was on a borrowed boat that was Canadain owned and US registered. Still I learnt a valuable lesson I had my C30 trailer made in USA so had to pay a RIV fee of @ $185.00 (Registrar of Imported Vehicles). I then had it inspected for @ 60.00 to see that it met canadian standards. This can be done at any Canadian tire store. then I had to wait for some papers to come back so I could go buy a trailer plate. I ddi a lot of the research ahead of time and yes it was a lot of work still but I learned a lot and sved a bunch of money too. I don,t know why but it seemed once the boat is in Canada it is worth 25% more. Last year was my first year with Dancin Bear and we are eagerly awaiting the ice to come off the lake again. Good Luck and fair winds.
 
O

Omni

What you heard

from this broker is correct. Just don't forget to visit and pay that infamous GST upon first arrival at Canadian custom and you are ready for register the boat.
 
B

Brian

Ken, Please expand on the "Borrowed boat"

Ken's got the process described correctly. I did it in July 2005 with my Beneteau 321 - The only difference was - at that time they would except visa for the whole amount. This was convenient in that all our paperwork was in US funds and the GST / PST couldn't be calculated until they knew the exchange rate on the day the boat landed in Canada. Now Ken - back to that Canadian boat - registered in the US - was this because the owner wanted to have US financing on the boat. - I've ben trying to figure out a way to borrow US$ to eliminate the exchange risk that we Canadians have. Brian B321
 
Jun 3, 2004
890
Hunter 34 Toronto, Ontario Canada
Here is a document that describes the process

Importing a vessel from the United States We brought our U. S. manufactured boat into Canada by truck and cleared through Oakville, Ontario customs. They were very helpful about advising us of requirements, and you may contact your local customs office directly for advice if you need more info than is provided here. Documents Required at Point of Entry into Canada Bill of Sale Proof that vessel was made in the U.S.A. Certificate of Title, signed off by Vendor Bill of Sale The Bill of Sale must contain >> Name of VendorHull Number Name of Purchaser(s)Registration Number Description of VesselPurchase Price Date of Sale  The Bill of Sale must be notarized > if the boat is purchased through a broker or dealer, their office will have a notary public on staff, or have access to one. If it is a private sale, you may be able to make arrangements through a broker or dealer for a fee. Proof of U.S. Manufacture Many manufacturers place a builder's plaque on the hull for inspection by Canada Customs. In the absence of same, you may provide a Builder's Certificate of Origin (formerly called a "Master Carpenter's Certificate")which is issued at the time of manufacture of a vessel, and is given to the original selling dealer, who then passes it to the original purchaser. It is intended that the Builder's Certificate is passed along to each subsequent purchaser of the vessel, but this often does not happen. If one is not available, you may provide a "Facts of Build" letter, provided by the manufacturer. We obtained an email from Hunter in Florida, and it was accepted at Customs here. If you do not prove that the boat is U. S. made, it is subject to import duty. Certificate of Title The Vendor must sign off on ownership papers in the space provided, and pass them to the Purchaser. If the boat is "documented" (similar to "registered" in Canada), it is possible to trace ownership and determine whether there are any liens outstanding against the vessel, which a new owner would want to have cleared before purchasing. If the boat is "licensed" (similar to licensing here), there will be no such trail. Note: In Canada, you cannot easily encumber a licensed vessel in any event, and it may be the same in the U. S. Taxes and Licensing/Registering GST is paid at point of entry into Canada (we paid ours on Mastercard). PST is collected by some Customs offices, or may be paid at the time of Licensing if not paid at point of entry. If you prefer to Register your vessel, you may review that process and obtain an application form on the Transport Canada website. Drop me an emailthru this site if I an help further- My wife is a litigeous sort and we imported our boat having bought direct from the PO
 
Sep 15, 2006
202
Oday 27 Nova Scotia
Importing boat into Canada

Bill - I bought a boat in the US in '03 & had it trucked back to Canada. Hired a lawyer in the US to handle the paperwork, primarily as the PO was a bit difficult to deal with, plus I wanted to make sure I had clear title to the boat. The previous posts covered most of the bases, but neglected to mention that both Can. & US Customs require that you report transfers of funds exceeding $ 10K to both agencies. Once you have proper documentation, the Canadian Customs only seems interested in collecting the 15% tax. Once in Canada you have two options: licensing the boat, which is free but means you have to stick the "officially sanctioned" license numbers on each side of the bow, or registration. The latter option leaves you open to a lot more bureaucratic BS and costs a suprising amount........mainly to have some "official measurer" confirm what you already know, that a Catalina 32 is in fact 32 ft long. Wow!!! E-mail me thru this site if you want more detail. Tony
 
Jun 16, 2004
130
Catalina 30 Mk1 Horseshoe Bay, BC
one more thing...

you have a time limit to pay GST, PST. We sailed our Cat 30 up from Olympia Wa. to Canada, checking in at the Customs on Pender Island. We were worried that we wouldn't make it back to Vancouver in time to pay the tax! The customs guy took care of everything for us, put the tax through on our Visa. If he hadn't been there, then we would have had 24 hours (from the time of entry into Canada) to get payment to them at one of their payment centres - Victoria, Vancouver, etc. No need for us to worry, everything was easier than we thought. As it turned out, he even deducted our personal exemptions off the value of the boat to bring the taxes down, since we had spent a week in the US. If everyone knew how easy it was to import a boat, the value of Canadian boats would decrease. The GST is only 6%, and I have found that boats are about 15-20% cheaper in the US. Good Luck, Rob
 
P

Paul

1 extra question for everyone

When you buy a boat and trailer from the US, do you need to get trailer insurance to bring it home? Can you pre-insure in canada or do you insure in the US to get you home? Sorry to jump in on this thread.
 
R

Rick A

Check with your insurance agent

Most policies cover the trailer and boat that you are towing under your automobile insurance, at least when I was trailering, I was covered that way. Rick
 
Jan 21, 2007
19
Catalina 36 Nova Scotia
May not need to measure tonnage

Having just gone through the process of re-flagging Northern Symphony (a C36) as a Canadian vessel, I thought I should point out that a C32 does NOT need to be measured by a Transport Canada to establish tonnage. Vessels whoose LOA is less than 12 meters, are monohulls, and have small cabintops, can use a tabular method to determine tonnage. This makes the registration process much faster and less expensive. On the other hand, you will have to pay more to register a Catalina because it was not built in Canada...sigh. The thing that surprised me was having to get our EPIRB re-coded as a Canadian beacon: You can't register a US beacon in Canada, and the US folks (NOAA) get confused if you have a US beacon on a Canadian vessel. Fortunately, ACR was happy to re-code the beacon for free since I had it in for a replacement battery anyhow.
 
F

Fred

12 metres is the magic number

If it's under, they'll give you numbers with no problem (at least in BC). More and you need to be measured for $300-500. If the measurement is above the cut off, you have to pay for name search and change and a registry fee (one time fee at present).
 
Status
Not open for further replies.