Documented vessel vs State Registration?

[Donzigo]

So, what's the difference in having your boat documented with the U.S.Coast Guard or registered in your home state?

[Dr. Dan]

:cool: Big D........I know in our area if your vessel is documented you do not have to "Display Your Registration Numbers"...although....most water way inforcement officials will likely pull you aside if they do not see the numbers regardless...in case the boat was stolen or "intentionally misplaced" wink ..I had a Buddy who hated to screw up his hull with gawdy registration numbers...an he never did document it..instead he would pay on average 3 tickets a season because he was so Anal? I am sure there are other reasons as well...which I would have to look up...most personal vessels are registered in their home port of operation state/area! Clear as Mud I know! :p ...Doc

[Sean]

Some states such as Missouri have documentation in lieu of tax. Saved me over $8K in taxes. In Missouri I have never been pulled over for lack of numbers because they are aware of many boats being documented. In order to document your boat it must have a minumum amount of inside square footage, not certain the amount however my previous boat a Donzi 26ZX barely qualified. You need to check with your state to see if they offer the same tax savings, because if they don't you will pay the documentation fee as well as taxes. :p

[SS18]

More than often the lien holder requires CG doc.
I also had this and did not have to display a NJ hull # but you do have to display and maintain yearly regisration sticker because you are a registered vehicle/boat.Since paid the lien and what a job to release the CG doc.

[Ranman]

Where's Digger? He can explain it. His 33 is documented.

[Jbesst]

SS18 hit most of the points about a Doc. Vessel. Just think of it as a National goverment(Coast Guard managed) issued title(ownership papers) verses a state issued title, Most states still require you to reg. and pay license fees but you don't have to display the Oh, Tx, etc. numbers on the hull.The tax benefit comes from not having to title the boat in your home state and thats when most, if not, all states charge you sales tax.Most new boats that qualify for Documentation are easy to get done. Used is much harder and requires a full and clean ownership search that can be presented to the CG.The BAD news is that your Doc. Vessel can be taken over in time times of war and national emergencies.And you have to fill out paper work every year on a Doc. Vessel. P.S. classics do not meet the size/ tonnage requirements

[MOP]

I do this stuff for a living being a boat broker, documentation as stated by SS18 is required by a lot of lending institutions. The reasoning is no matter where that boat is as long as it is state side they send guys like me and the US Marshals to grab the boat. Documentation give the bank first right to grab your boat overall other people you may owe money. If a creditor other than the bank grabs your documented boat call the bank you will get it back and they will be liable for any damage caused. That being said you really only need to doc the boat if you intend to visit foreign ports, then it is a must some of these hokey little places will impound registered boats if you screw up in their beady little eyes. But with a good old US doc they won't bother you. Yeah you probably picked up I was and still do REPOS, I have grabbed over 300 boats since 88. The US Marshals like me and do ask the banks for me, they know the boat will always leave when I get on it and I don't break stuff like some of the idiots that do it. Many boats go back to the owners and I respect that. So if you are in the Northeast and you think it may go or does away when you are not looking. Drop me an E-Mail I may be able to snitch the local, and I am damn good talking to the banks. I'm not a creep I just get paid pretty damn good.

[Jbesst]

SS18 hit most of the points about a Doc. Vessel. Just think of it as a National goverment(Coast Guard managed) issued title(ownership papers) verses a state issued title, Most states still require you to reg. and pay license fees but you don't have to display the Oh, Tx, etc. numbers on the hull.The tax benefit comes from not having to title the boat in your home state and thats when most, if not, all states charge you sales tax.Most new boats that qualify for Documentation are easy to get done. Used is much harder and requires a full and clean ownership search that can be presented to the CG.The BAD news is that your Doc. Vessel can be taken over in time times of war and national emergencies.And you have to fill out paper work every year on a Doc. Vessel. P.S. classics do not meet the size/ tonnage requirements

[Sam]

Here in Mich regardless if your boat is documented or not you better of your numbers dispalyed. They will fine you to the tune of $500.00.

Sam

[Bryan Tuvell 33ZX]

Well this was a tough lesson I learned on the 26ZX, purchased out of state, no sales tax, but paid it like a good american, 4.5% to get my stickers.
All of my friends documented for about $400, did not pay a nickel sales tax.
On the new loan I am approved for if we buy a new boat the Lender requires it be USCG Documented, USCG fee $250 and the service is $145 from the lender.

I will do it this time and save all that money I gave the state.

As far as displaying numbers go, some say it draws cops if you do not, my theory is, if your doing nothing wrong, who cares, I'd rather have the cash in the bank.
Bryan

PS, did anyone here loose a boat in the Gulf War II? I didn't think so!

[Tidbart]

Good post guys. Lots of good info.

B biggrin.

[MOP]

On the tax issue the Coasties come into the marinas with a camera and shot all the boats. We had about ten guys a few years back that got hit for the tax and penalties. This was here in NY but I would think the Coasties do it all over.

[roadtrip se]

I just had the gentleman who bought my last big offhsore boat contact me last week crying the blues about this issue. Seems that Texas has started comparing documentation records with addresses and IS collecting back sales taxes and this tranaction occured back in 2000.

I never registered my big boats here in Texas, because the law didn't require it, but I did pay the tax. The people who do your documentation should be able to give you the lay of the land for where you live.

Todd

[MOP]

I think as the states get hungry for money they start looking at all the options, in these tight times they will be looking harder.

[mjpcowboy]

It may not be the case in your state however some states do have a provision for documentation in lieu of tax. It is not a scam on the system as some of you may think. I still am responsible for personal property tax however if I did not document the boat I would have had to pay both sales tax when purchased and personal property tax each year. Beleive me I pay my "fare share" of taxes each year so if you can reduce your tax payment a little why not! I have had documented boats for over 4 years and have only been pulled over once for no numbers on the hull. As soon as they saw the documentation papers they sent me on my way.

[Team Hula Girl]

Donzigo, My donzi is CG documented and I haven't ever been pulled over for not displaying FL #'s. And I am in the same waters that you are. below is what the USCG wrote in a letter that I recieved about Documentation. I hope it helps.

Documented vessels do not display their official numbers on the outside of the hull, but are identified by the name and hailing port. The application for documentation must include a name for the vessel composed of letters of the Latin alphabet or Arabic or Roman numerals and may not exceed 33 characters. The name may not be identical, actually or phonetically, to any word or words used to solicit assistance at sea; may not contain or be phonetically identical to obscene, indecent, or profane language, or to racial or ethnic epithets. Once established, a vessel's name may not be changed without application, fees, and the consent of the Director, National Vessel Documentation Center. There is no rule against duplication of names for documented vessels, so hailing ports are helpful in identifying vessels. The official number assigned to documented vessels, preceded of the abbreviation "NO." must be marked in block-type Arabic numerals at least three inches high on some clearly visible interior structural part of the hull. The number must be permanently affixed so that alteration, removal, or replacement would be obvious and cause some scarring or damage to the surrounding hull area.

The name and hailing port of a recreational vessel must be marked together on some clearly visible exterior part of the hull. The vessel name of a commercial vessel must also be marked on the port and starboard bow and the vessel name and the hailing port must also be marked on the stern. All markings may be made by any means and materials that result in durable markings and must be at least four inches in height, made in clearly legible letters of the Latin alphabet or Arabic or Roman numerals. The "hailing port" must include both a place and a State, Territory, or possession of in the United States. The state may be abbreviated.

Here is a link to the USCG website with answers to FAQ's.
http://www.uscg.mil/hq/g-m/vdoc/faq.htm#04

John

[Donzigo]

Great information. Thanks to all for replies. My Z-33 is registered.I paid the USCG, I think $84, to keep it registered, but, did not immediately pay the sales tax, got a nice computer letter from the boys up in Tallahassee wanting to know what's up, good thing, I had just paid it, along with the local state registration sticker, which I display on the left window. The water police, USCG and sheriff have all looked me over and never stopped me.

Want to hear a cool Donzi story?

My 1989 Donzi Z-33 was first sold by a dealer in Lake Lanier, Ga. in 1990 to a land developer from Singer Island, in Miami, who wanted to take it to Belize, Mexico. But, seemed that when it got there, the Minister of something, in the little town where it landed, wanted to use the boat to ride in a local parade in the city, before he let the shinny new Donzi come into the country. (Apparently Donzis have clout, even with the local "federales" in Belize, Mexico) Well, as the story goes, he did use the boat in the parade and the developer used the boat happily for a year or so., Trouble came when he tried to exit the country. Something about the documentation stopped it's being loaded on to a ship. My sweet Z-33 Donzi sat on that lonely, nasty, dock for TWO YEARS! Then, through some stroke of I dunno, maybe luck, it made it's way, by ship, back to Miami, where it was purchased by a boat broker here in St. Pete, (my guess is it must have been trashed by then), who completely refurbished her, new engines, etc, and then played with her for a year, then sold it to a really neat guy who makes dragster parts out of aluminium, (Aerospace Company, St. Pete), who used it for a year or so, then sold it to me.

I've always wondered what might have stopped the boat on the dock by the Mexican guys for 2 years.