Please select your home edition
Edition
Wildwind 2016 728x90

GST-free sales of new recreational boats- ATO new law

by ATO on 19 Jul 2011
.. ©
Due to changes in GST legislation, from 1 July 2011 you can sell a new recreational boat GST-free if the boat is exported from Australia within a specified 12-month period.

To sell a boat GST-free, it:

* must be a new recreational boat
* cannot be used for a disqualifying activity before it is exported.

What is a new recreational boat?
New recreational boats are newly constructed, and designed and fitted out mainly for private recreational pursuits or hobbies.

They:
* must not be substantially re-constructed
* cannot have been sold (unless as trading stock), leased or used since they were constructed
* cannot be second-hand boats or commercial ships (for example a trawler or cargo ship).

To be GST-free, new recreational boats you sell cannot be used for any commercial activity or financial gain by either the purchaser or any other person while the boat is in Australia. In addition to this, a new recreational boat cannot be used for any of the following purposes:

* as security for the performance of an obligation, other than as security for the loan used to purchase it
* in carrying on an enterprise in Australia
* in carrying on an enterprise outside Australia, other than for activities done as a private or recreational pursuit or hobby
* to obtain any payment, other than
* as an employee providing services to an enterprise carried on by the purchaser outside Australia
* winnings paid from a race or other sporting event in which the purchaser competes.

For the sale of a boat to be GST-free, either you or the purchaser must export it from Australia within 12 months from the receipt day, unless the ATO allows an extension.

The receipt day is the earliest day on which one or more of the following events occur:

* the purchaser takes physical possession of the boat
* you receive the final instalment (if you receive payment in instalments under a contract that requires the boat to be exported)
* you give an invoice for the final instalment if you receive payment in instalments under a contract that requires the boat to be exported.
* The purchaser can also only use the boat for recreational/non-commercial purposes while it is in Australia.

To be eligible to use the extended GST-free period, you must:

* maintain knowledge of both the use and whereabouts of the boat for up to 12 months
* obtain documentary evidence as proof that the boat has been exported
* obtain a purchaser declaration as proof of non-commercial use when the boat is exported.


More at http://www.ato.gov.au/content/00285170.htm
InSunSport - NZT Clewring J-classBarz Optics - Floaters

Related Articles

Mirabaud Yacht Racing Image exhibition at the World Sailing conference
The Mirabaud Yacht Racing Image award keeps growing and improving its structures. World Sailing’s annual conference reassembles World Sailing member national authorities, Committees, Sub-committees, Commissions, Class Associations, sailors, event organizers, boat manufacturers and observers. Up to 700 delegates are expected in Barcelona this year.
Posted on 26 Sep
Olympic Gold medalist and Volvo Ocean Race winner up for WS Board
Torben Grael (BRA) is amongst the 15 nominations for one of seven places on the Board of Directors of World Sailing Torben Grael (BRA) is amongst the 15 nominations for one of seven places on the Board of Directors of World Sailing in November. The five times Olympic medalist, Volvo Ocean Race winner and several times America's Cup competitor will bring a much needed sailing edge to the Board of World Sailing if he can navigate the politics of the controlling body of the sport.
Posted on 25 Sep
Southern Spars en route to Monaco – Stand QSE2
It’s been another big year for the NZ based company, there's lots of exciting things to talk about the Monaco Yacht Show It’s been another big year for the New Zealand based company, giving us lots of exciting things to talk about at the 2016 Monaco Yacht Show like our two big projects Adix and Aquijo. Adix, the three-masted 65-metre Dykstra schooner, has been transformed by a rig refit by Southern Spars and Future Fibres.
Posted on 22 Sep
Tony Parker - Basketball player and ambassador of the Bridge
Tony Parker, basketball player with an exemplary sporting career, took advantage of visiting France to launch 100 Club This important meeting took place last Saturday morning on 17th September in Nantes, between Tony Parker, godfather to the Bridge, and the companies which support this Franco American initiative, which will celebrate 100 years of fraternal exchanges between two countries. Tony Parker, the basketball player with an exemplary sporting career, took advantage of visiting France to launch the 100 Club
Posted on 22 Sep
Terry Kohler, driving force of North Technology dies at 82
Terry Kohler who purchased North Sails was the driving force behind the North Technology Group, has died aged 82 Terry Kohler who purchased North Sails from Lowell North over 30 years ago and was the driving force behind the North Technology Group, has died aged 82. With the combined company of North sails and Southern Spars, Kohler created the 'Engine above the Deck' concept which married the technology used to build the sails and spars to be designed and work as an integral unit.
Posted on 21 Sep
The Newport International Boat Show is opening next week!
Newport Exhibition Group has secured a record number of exhibitors, and organized more educational activities Newport Exhibition Group, owners and producers of the Newport International Boat Show, announced today that it has secured a record number of exhibitors, and organized more educational activities and attractions for showgoers than ever before.
Posted on 9 Sep
Brookes and Gatehouse Videos with Knut Frostad
Navico, the parent company for Brookes and Gatehouse (B&G), Simrad and Lowrance have prepared some terrific videos Navico, the parent company for Brookes and Gatehouse (B&G), Simrad and Lowrance have prepared some terrific videos with Knut Frostad, the legendary Volvo Ocean Race sailor and former CEO. See him talk about sailing in general, the B&G product choices and placement he made for his own boat, and then why he loves his Outremer 5X.
Posted on 8 Sep
Bavaria C57 – Something big is coming
Bavaria Yachts presents a new revolutionary sailing yacht, in the form of the new Bavaria C57, at the Yachting Festival Bavaria Yachts presents a new revolutionary sailing yacht, in the form of the new Bavaria C57, at the Yachting Festival in Cannes. The innovative design, the smart layout, the high-quality equipment and build quality, and the impressive performance set new standards - and not only for Bavaria Yachts. …..Something big is coming.
Posted on 8 Sep
Zhik sailors win 17 sailing medals at 2016 Olympic Regatta
The 2016 Olympic games are over and what a Games they have been - Zhik sailors dominated Zhik sailors won almost 60% of the medals contested at Rio de Janeiro. It was a regatta which tested sailors and gear - with one day being the most severe conditions ever experienced at an Olympic regatta. For the Zhik team riders on the waters of Rio, four years and more of hard work and dedication have paid off for many.
Posted on 29 Aug
PredictWind - One stop shop
PredictWind have taken the bold step of adding government provided forecasts to their award winning forecasting software PredictWind the world leader in forecasting believe that more is better, and have taken the bold step of adding government provided forecasts to their award winning forecasting software.
Posted on 15 Aug