How To Qualify Your Yacht For Tax Advantages
There is so much uncertainty about how a yacht can qualify as a small business and legitimately take tax deductions that will benefit you directly. The fact is that if you are a US tax payer and want to own your own yacht at a substantially reduced cost, this program will work for you and it is completely legal. There are many misconceptions about this program of yacht ownership, i.e., some people mistakenly believe that predominant use of the vessel has to be in the U.S. to qualify for tax advantages. That is incorrect.
U.S.-Owned Yachts Quality for Tax Advantages
A U.S.-flagged vessel is considered to be substantially part of the U.S. economy even if the vessel operates in foreign waters like BVI. If the corporation that owns the vessel is a U.S. entity, then it can be eligible for tax advantages related to the boat business. We have compiled a list of FAQ’s about this “Yacht As A Business” program and charter yacht management but feel free to contact us with any additional questions.