Definition of a sailaway boat
A “sailaway boat” is defined as a vessel which is:
- to be delivered to the purchaser or their authorised skipper within the European Community (EC), and
- to be exported under its own power to a destination outside the VAT territory of the EC.
Both new and second-hand boats may be sold under the scheme.
Who can use the scheme?
The scheme can only be used for the private purchase of a boat by overseas visitors. An overseas visitor is a person normally resident outside the UK. The vessel must be exported from the EC within 6 months of the date of delivery - this is normally the date the vessel leaves the supplier’s premises. The sale of vessels for commercial purposes is not permitted under this scheme.
If a supplier arranges delivery of a boat, either on a trailer or by using a skipper employed by him, to a destination outside the EC, the Sailaway Boat Scheme must not be used. The supply of a boat in these circumstances is a direct export and should be treated as set out in VAT Notice 703 - Exports of goods from the United Kingdom.
In a direct export, the complete transaction from supply to exportation is under the control of the UK supplier.
Parts and accessories
Parts or accessories may be supplied to the customer under the Retail Export Scheme. Guidance can be found
- in VAT Notice 704 - Retail Exports, and
- in VATRES - Personal exports - retail exports.