ralexa6808
Well-known member
- Joined
- Feb 2, 2013
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- OWNER - I own a Hatteras Yacht
- Hatteras Model
- 58' YACHT FISHERMAN (1970 - 1981)
The Admiral emailed this to me,....
or here's the link:
blog.timesunion.com/capitol/archives/231504/luxury-yacht-buyers-will-find-much-to-cheer-about-in-budget/
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Luxury yacht buyers will find much to cheer about in budget
Posted on March 30, 2015 at 1:52 pm by Casey Seiler, Capitol bureau chief in Budget 2015, Bulletin, Taxes
(John Carl D'Annibale, Times Union)
The final state budget includes a significant tax break for anyone who’s in the market for a yacht worth more than $230,000. According to the revenue bill submitted Saturday night, the tax break extends to outboard motors and trailers when they’re included in the purchase.
In other words, for the purposes of the collection of state sales tax, the topmost value of your yacht is $230,000.
The tax break — which as Bill Hammond of the Daily News pointed out is aptly located in Part SS of the bill — was called “one of the oddest and most offensive additions to the final revenue bill” by the progressive Fiscal Policy Institute.
Like a similar break for buyers of private planes (see Part TT), the yacht tax break was not included in Cuomo’s executive budget proposal. The exemption covers “every description of watercraft other than a seaplane used or capable to being used as a means of transportation on water.”
“The justification for that is it creates jobs,” said Senate Republican Leader Dean Skelos. “It makes New York State more competitive.”
Skelos did not answer when asked what states New York was losing luxury-yacht jobs to, but he might not have heard the question.
Ron Deutsch, executive director of the Fiscal Policy Institute, was so upset that his statement was poorly punctuated:
It appears our legislative leaders could not agree to provide tax relief to struggling homeowners and renters through a middle class property tax circuit breaker but managed to find the political will to provide sales tax exemptions for people buying luxury yachts? I was not aware the YACHT-UP NY program was even on the table? This seems like a case of some seriously misplaced priorities. We are also dismayed that many of the tax credit reform proposals advanced by the Governor did not make it into the final budget. Not reforming the broken IDA and Brownfield tax credit programs is yet another missed opportunity.
Update: Tom Pilkington, owner of Connecticut’s Prestige Yacht Sales, said the tax break was unlikely to hurt out-of-state boat merchants since sales tax is paid to the state where the boat is based, not bought. New York’s waterways, he said, were already thickly populated. (Connecticut has a straight 6.35 percent sales tax on boats sales.)
“I hate to say this, but it’s the whole trickle-down effect,” Pilkington said, noting that more boats sold benefits boatyards as well as mechanics, insurance companies and others.
He noted that Rhode Island eliminated its sales tax on boats altogether. “It was a real boost to the whole marine economy,” he said.
UpdateX2: The Working Families Party and the Senate Democratic Conference, two groups who have cause to be cranky with both the Senate GOP and Gov. Andrew Cuomo, have released statements on the yacht tax break. From Senate Democratic spokesman Mike Murphy:
It seems like the yacht and airplane owner lobby is much more powerful than people thought. It is outrageous that we are giving yacht and airplane owners massive tax breaks while we refuse to provide a real minimum wage increase or real property tax relief.
From Karen Scharff, co-chair of the WFP:
The Governor and legislature should be ashamed of ??a state budget that provides tax breaks for yachts and private jets while failing to raise the minimum wage. This outrage proves once again the link between campaign donations from the wealthy and policies that increase inequality.
or here's the link:
blog.timesunion.com/capitol/archives/231504/luxury-yacht-buyers-will-find-much-to-cheer-about-in-budget/
************************************************
Luxury yacht buyers will find much to cheer about in budget
Posted on March 30, 2015 at 1:52 pm by Casey Seiler, Capitol bureau chief in Budget 2015, Bulletin, Taxes
(John Carl D'Annibale, Times Union)
The final state budget includes a significant tax break for anyone who’s in the market for a yacht worth more than $230,000. According to the revenue bill submitted Saturday night, the tax break extends to outboard motors and trailers when they’re included in the purchase.
In other words, for the purposes of the collection of state sales tax, the topmost value of your yacht is $230,000.
The tax break — which as Bill Hammond of the Daily News pointed out is aptly located in Part SS of the bill — was called “one of the oddest and most offensive additions to the final revenue bill” by the progressive Fiscal Policy Institute.
Like a similar break for buyers of private planes (see Part TT), the yacht tax break was not included in Cuomo’s executive budget proposal. The exemption covers “every description of watercraft other than a seaplane used or capable to being used as a means of transportation on water.”
“The justification for that is it creates jobs,” said Senate Republican Leader Dean Skelos. “It makes New York State more competitive.”
Skelos did not answer when asked what states New York was losing luxury-yacht jobs to, but he might not have heard the question.
Ron Deutsch, executive director of the Fiscal Policy Institute, was so upset that his statement was poorly punctuated:
It appears our legislative leaders could not agree to provide tax relief to struggling homeowners and renters through a middle class property tax circuit breaker but managed to find the political will to provide sales tax exemptions for people buying luxury yachts? I was not aware the YACHT-UP NY program was even on the table? This seems like a case of some seriously misplaced priorities. We are also dismayed that many of the tax credit reform proposals advanced by the Governor did not make it into the final budget. Not reforming the broken IDA and Brownfield tax credit programs is yet another missed opportunity.
Update: Tom Pilkington, owner of Connecticut’s Prestige Yacht Sales, said the tax break was unlikely to hurt out-of-state boat merchants since sales tax is paid to the state where the boat is based, not bought. New York’s waterways, he said, were already thickly populated. (Connecticut has a straight 6.35 percent sales tax on boats sales.)
“I hate to say this, but it’s the whole trickle-down effect,” Pilkington said, noting that more boats sold benefits boatyards as well as mechanics, insurance companies and others.
He noted that Rhode Island eliminated its sales tax on boats altogether. “It was a real boost to the whole marine economy,” he said.
UpdateX2: The Working Families Party and the Senate Democratic Conference, two groups who have cause to be cranky with both the Senate GOP and Gov. Andrew Cuomo, have released statements on the yacht tax break. From Senate Democratic spokesman Mike Murphy:
It seems like the yacht and airplane owner lobby is much more powerful than people thought. It is outrageous that we are giving yacht and airplane owners massive tax breaks while we refuse to provide a real minimum wage increase or real property tax relief.
From Karen Scharff, co-chair of the WFP:
The Governor and legislature should be ashamed of ??a state budget that provides tax breaks for yachts and private jets while failing to raise the minimum wage. This outrage proves once again the link between campaign donations from the wealthy and policies that increase inequality.
