The Boating Forum - Itemized Bill of Sale for Used Boat in Florida

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PhilM
01-07-2011, 11:34 AM
I am purchasing a used boat tomorrow. I heard that I can save money on the tax by itemizing the purchase price between hull, engine, and trailer. Does anyone have a sample itemized bill of sale for Florida they can share. Thank you.


loose_cannon
01-07-2011, 11:43 AM
Here ya go

http://www.taxcollect.com/webimages/dept12forms/uds106.pdf

rybovich18
01-07-2011, 11:46 AM
I used something like below. FYI, when I went to register and pay tax the staff at the tax collector's office didn't know that rule and had to look it up. I actually printed the applicable Florida Statute (available on-line) and brought it with me in case. I believe I ended up paying tax only on the hull and the trailer. Good luck


BILL OF SALE

The following vessel is transferred herewith between , as buyer,
and , as seller, for the total price of $sxxxxx, as of xxxxxx, 2008. The following is an itemized approximation of the values established in the transaction:


(1) 2004 xxxxxxxxxxxxx, HIN # xxxxxxxxxxx Value $xx,xxx
(2) 2004 Yamaha xxxxxxxxxxxxxx and Rigging, Props Value $xx,xxx
(1) 3 axle trailer VIN #xxxxxxxxxxxxxxxx Value $ x,xxx
Furuno NavNet, Icom VHF Radio, Simrad AP, Stereo Value $ x,xxx
GPS, XM, VHF Antennas Value $ x,xxx
Safety Gear, Ground Tackle, Lines, Cushions, Ladder Value $ x,xxx

Total Price………………………………………………………………… $xx,xxx



Seller: ______________________________xxxx xxxxx




Buyer: _____________________________ xxxx xxxxx


signmansez
01-07-2011, 12:07 PM
My tax collector would not allow the deduction of the electronics value for some reason. I argued a bit and was told I could appeal it to the Dept. of Revenue. I never did. Itemize as above and hope for the best.

Have it notarized if possible. This will add more validity to the Bill of Sale. Good luck, this saved me over $1300 in sales tax.

AtoZ
01-07-2011, 12:18 PM
I just do 3 seperate bills of sale and show the ones I need to show.

tommyr904
01-07-2011, 01:02 PM
I just do 3 seperate bills of sale and show the ones I need to show.



thats how I did it,I do not buy tags for my trailer so I only showed the hull bill of sale

super spook
01-07-2011, 01:17 PM
When I bought my boat earlier this year I was told that this only applies if you are buying from an individual. If you are buying from a dealership you have to pay the full tax on the boat price.

tokinred
01-07-2011, 01:33 PM
When I bought my boat earlier this year I was told that this only applies if you are buying from an individual. If you are buying from a dealership you have to pay the full tax on the boat price.

That is correct.

solarfry
01-07-2011, 01:53 PM
That is correct.


I confirm that..

rusbob
01-07-2011, 04:58 PM
I bought a new boat from a broker (not a dealer) last year in Alabama. Had separate bills of sale for the hull, motor and trailer. Only had to pay sales tax on the hull and trailer back in Florida.

rusbob
01-07-2011, 05:00 PM
Oh, and by the way if you are buying from a private individual, I've heard that some people fudge the numbers a little bit on the bill of sale in order to save on the sales tax. Just what I've heard...

bayou man
01-07-2011, 05:03 PM
Just how much is the sales tax on boats in fla? I louisiana there is no sales tax on a used boat, but there is on the trailer.

rusbob
01-07-2011, 05:40 PM
Seven percent.

bayou man
01-07-2011, 06:14 PM
That is not so bad, here for cars and trailers it is 10 percent.

n3up
01-07-2011, 09:35 PM
Does Florida have any "gotcha's" on gifts?

Long story short, I'm getting a boat from friends of the family in Florida.
The boat needs some work, and the deal is "if you want to get it fixed you can have it."

I'll be taking it up north and registering in Delaware.

In Pennsylvania where I live, on cars at least, you can't do a gift any more. If you try the old $1 deal, they won;t do that either. If the registration agency thinks the price is too low, they can charge tax based on blue book value......

I have to buy a trailer for it and bringing a vehicle in from out of state in Pa you only pay the difference in tax between Pa and the state of purchase. Sales tax in Pa is 6%.

The boat is going to cost about 3K for hull repairs, motor should only need impeller and tune up (hopefully) and the trailer is going to be about 5K.

Similar boats have been up for sale for 7-8K with no trailers, so I think I'm making out ok, not stealing it, but I don;t think I'm getting the short end either. There's some nice electronics included too.....

Bugs me a little that I'll have more in the trailer than the boat though.....

Mr. Demeanor
01-07-2011, 10:03 PM
The itemized bill of sale has to be signed by the seller and NOTARIZED.

BigosS
01-08-2011, 04:40 AM
I believe the mount of tax depends on which county the transfer takes place in. In Brevard I believe it is still 6%.

n3up, get a detailed list of why the boat is being given away, what repairs it needs and costs, bring that with you when registering. This has worked for me with a truck. Claiming a cost of $100 may raise less issues than a pure gift.

My experience in Florida is none of this needs to be notarized. In fact Florida no longer even needs a Power of Attorney form for title transfer to be notarized. Strange but true, just went through this 2 weeks ago selling my son's car, and even the DMV clerks agreed. It can't hurt to have a notary though, and Delaware may require it.

lazydawg
01-08-2011, 05:41 AM
Just registered used boat on Jan 5th.
Had bill of sale as outlined in post by rybovich18.
Bill of Sale was NOT notarized.
Sales tax collected only on hull and trailer.
Sales tax rate is dependent upon county, Lee and Collier are 6%, others close by are up to 7.5%.
Screw you on licenses where they may charge you for a full year and the licenses are good for 4 months because they use your birth month as expiration date.
Customer next to me said did not have a bill of sale, DMV pulled out a NADA guide, but I think it was for a car.

n3up
01-08-2011, 08:18 AM
Big,

I won't be regestering in Florida, I'll just need to get the title transferred so I can register in delaware.
As far as the reasons and costs, the husband can't use the boat anymore due to medical reasons, and the kids aren't interested in it anymore. It needs transom repairs that we have a $2900 estimate for.

So basically I'm getting a boat that could be worth about 8K at best, for the just shy of 3K repair cost, and the cost of a trailer.....

NEBassMan
01-08-2011, 11:02 AM
Does Florida have any "gotcha's" on gifts?
...
In Pennsylvania where I live, on cars at least, you can't do a gift any more. If you try the old $1 deal, they won;t do that either. If the registration agency thinks the price is too low, they can charge tax based on blue book value......
...


Unless something has changed in PA in the last yr or so, when you reg a car/light truck that was bought in-state, you pay tax on the amt stated on the bill of sale. If that amt differs significantly from the NADA (AAA uses NADA anyway), then you need to give a statement as to why the sale price is so low.

Um, a friend, ya, that's it,... did this a number of times. Only when the price was rediculously low did I, I mean my friend, (the seller)\ get a form from the state requesting confirmation of the sale price.

So basically no issues w/ this. Buyer & seller better be in agreement though. Just what I've heard of course.

bayou man
01-08-2011, 05:12 PM
Here in la. you can no longer claim a gift or low selling price on a car under 10 yrs. old, they tax the book value, however if the vehicle needs repairs you can get a written estimate and that will be deducted from the taxable value. Maybe the law where you are will have that exception as well.

slapshot
01-08-2011, 05:29 PM
You pay tax on the items that have to be registered (boat and trailer). The idea is to fudge the numbers away from those two items and into electronics, etc. The past few boats and cars I have bought or sold from an individual, I have done 2 bills of sale. One bill of sale for the full amount so the buyer has proof they bought the item. The second bill of sale has a lower amount, or itemized for boats, to use for transferring everything with the state.

When I bought my boat and took in the itemzied bill of sale, it saved me over $1k in tax.

No, the bill of sale does not have to be notarized. Mine have always just been signed by buyer and seller. Just take it into the tax collector office along with the title if you have it. make sure the title is signed over too.

I have never had the state questions anything. Just make the numbers realistic, not insanely low. Heck, I bought a motorcycle years ago and listed the price as a gift on the title and didn't pay any tax and was never questioned.

The sales tax varies by county. Here in my county it's 7%, others nearby are 5% and 6%. I think you have to pay whatever the tax is in your home county. It's that way with cars.

cWICKBERG
01-09-2011, 12:03 PM
[quote=slapshot;3449312]You pay tax on the items that have to be registered (boat and trailer). The idea is to fudge the numbers away from those two items and into electronics, etc. The past few boats and cars I have bought or sold from an individual, I have done 2 bills of sale. One bill of sale for the full amount so the buyer has proof they bought the item. The second bill of sale has a lower amount, or itemized for boats, to use for transferring everything with the state.

quote]

Wow That is not soo smart...You and the buyer are setting yourselves up for fraud...In this economy, states are going to scrutinize transactions more and more these days...I had a friend in the DMV and all she did was review valuations and flag ones that were too low.

THe best way to do this is to have individual bills of sale for each of the major items...For instance, you can have one for hull, one for motors, one for trailer, one for misc equipment/electronics, etc.

Thsi way , all you have to submit is the appropriate bill of sale for the appropriate title/registration you are seeking...

bayou man
01-09-2011, 08:46 PM
That is what I was thinking, two copies will get you in more trouble than you think. They are checking valuations down here now also.

n3up
01-10-2011, 01:09 AM
My question sure got a little sidetracked here....

The situation is this, I am being given the boat under the condition that I have it repaired for my use.
The boat is located and currently registered in Florida.

I only need to transfer the title into my ownership. I will NOT be registering the boat in Florida, the boat will be moved to Delaware and registered there.

Do I need do anything in Florida at all? Is it like an automobile title where the seller (or giver in this case) can fill out the appropriate information and have it notarized and I'll be good to go?

My only experience prior with a boat purchase was a boat that was registered in Delaware.
In that case, the seller wrote up a bill of sale, had it notarized then we went to the marine supply store that handles boat registrations, did the paperwork, paid the piper and off I went.
That was an in state ownership transfer.

I am pretty sure that Delaware is not a title state for boats, but Florida is.

I just don't want to get surprised by a tax bill.....

cldomson1
10-01-2012, 01:25 PM
subscribed

First Light
10-01-2012, 01:48 PM
The itemized bill of sale has to be signed by the seller and NOTARIZED.

While this thread is over 18 months old, I did not see it back then.

Here is the official State of Florida Bill of Sale form for a vessel. It does not require notarization - and yes I have used it. Note that there is no space for electronics, engines, or a trailer. BUT if there is a trailer involved in the sale, an additional Bill of Sale must be used for the trailer as the Tax Assessor's office will require one to issue a license plate for the trailer - and you will also pay sales tax on the trailer.

http://www.flhsmv.gov/dmv/forms/btr/82050.pdf

cldomson1
10-01-2012, 01:48 PM
While this thread is over 18 months old, I did not see it back then. Here is the official State of Florida Bill of Sale form for a vessel. It does not require notarization - and yes I have used it.

http://www.flhsmv.gov/dmv/forms/btr/82050.pdf

Thanks.

Mr. Demeanor
10-01-2012, 05:41 PM
It may have changed. I had to have a notarized BOS when I bought the Fountain 6 years ago.

terrabite
10-01-2012, 05:51 PM
I just purchased a boat and did a separate bill of sale for everything. Then only showed the tax collector the hull and trailer info. Save a lot money this way since the boat a lot of after market items installed which added to the value etc.

laythewood
10-01-2012, 06:18 PM
Alittle advice. Bring a copy of the statute with you to the DMV. Trust me it could save you a whole lot of unecessary trouble. They really don't know this exists. I had three people working at the DMV tell me they dont look at a bill of sale and then they starting yelling to their supervisor: "this man has some sort of LAW, he has some LAW on a piece of paper he wants you to look at." After finally reading the piece of paper they finally believed what I was saying.

tokinred
10-01-2012, 06:34 PM
Alittle advice. Bring a copy of the statute with you to the DMV. Trust me it could save you a whole lot of unecessary trouble. They really don't know this exists. I had three people working at the DMV tell me they dont look at a bill of sale and then they starting yelling to their supervisor: "this man has some sort of LAW, he has some LAW on a piece of paper he wants you to look at." After finally reading the piece of paper they finally believed what I was saying.

Yup, been there. Lady asked me in a really crappy tone "what, are you some kinda lawyer?". I said "no, I'm just a regular one". She got her supervisor. It is amazing that they don't know this stuff.

gtcuppels
10-01-2012, 10:44 PM
Oh, and by the way if you are buying from a private individual, I've heard that some people fudge the numbers a little bit on the bill of sale in order to save on the sales tax. Just what I've heard...

No! Say it isn,t so!!! Avoid tax entirely register boat in Delaware (No Sales Tax)

keywest49
10-04-2012, 11:33 AM
http://www.taxcollect.com/content.aspx?ContentID=63

excerpt:

Sales and Discretionary Taxes

Florida State sales tax is 6% of the purchase price. An additional county surtax is imposed on vehicles or vessels if you reside in a county that requires one. For more information on Florida sales tax, visit the Florida Department of Revenue.

When you purchase a vessel, motor and trailer together from an individual, you will not have to pay sales tax on the outboard motor if you can provide an itemized and notarized bill of sale signed by the seller. You will pay sales tax on the vessel and trailer. (This exemption does not apply to inboard motors or if you have purchased the motor from a dealer of store.)

I think this is the horses mouth...

jamesworthy52
10-04-2012, 01:49 PM
The law you are looking for is Section 328.01(5)(b), Florida Statutes:

"An application for a title transfer between individuals, which transfer is not exempt from the payment of sales tax, shall include payment of the appropriate sales tax payable on the selling price for the complete vessel rig, which includes the vessel and its motor, trailer, and accessories, if any. If the applicant submits with his or her application an itemized, properly executed bill of sale which separately describes and itemizes the prices paid for each component of the rig, only the vessel and trailer will be subject to the sales tax."

tbteam11
10-04-2012, 02:41 PM
When I traded a boat last month, I called the FL DMV to switch the ownership of the boat to an LLC that I have so the trade could go from LLC to LLC.

The girl at the DMV said, and I quote:

"Just put whatever you want on the bill of sale. It's not like we go and check on it".

I nearly laughed.

The Contractor
10-04-2012, 07:01 PM
Just did this a couple of weeks ago. I had the BOS for the vessel including the complete price paid for the boat, motor and trailer. The DMV lady made me go back to the seller and have him sign a separate BOS for the trailer or they wouldn't let me register it. Paid the taxes (7%) on the complete total since it wasn't separated.



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