Rhode Island considers removing boat tax exemption

I know that no one likes tax increases, but this loophole has been (ab)used by out of state residents to dodge taxes in their home states. The most recent notable case involved the present senior Senator from Massachusetts who home ported his new $ 7.0 million sailing yacht in Newport despite having no ties to Rhode Island.

Henry
 
Henry Boyd said:
I know that no one likes tax increases, but this loophole has been (ab)used by out of state residents to dodge taxes in their home states. The most recent notable case involved the present senior Senator from Massachusetts who home ported his new $ 7.0 million sailing yacht in Newport despite having no ties to Rhode Island.

Henry
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So where is the down side of that for R.I.

Dock slips filled not empty = R.I. income. Fuel and fuel taxes going to R.I. Employees paying Federal and R.I. State taxes. Those out of staters coming to R.I. to eat in R.I. restaurants and spend money in R.I. every time they come to see their boat.

Maybe I'm missing something, but anyone thinking of taxing boats in R.I. may want to do their homework regarding how GHW Bush all but destroyed the boating industry in this country costing 10 of thousands of jobs. The industry still has not recovered from that in this country.

People are leaving R.I. at a rate of ~9% per year. Taxing boats may be the final nail in the coffin that causes a billboard to be placed on 95 South....."Last one out of Rhode Island, please turn off the lights."
 
dpmulvey said:
So where is the down side of that for R.I.

Dock slips filled not empty = R.I. income. Fuel and fuel taxes going to R.I. Employees paying Federal and R.I. State taxes. Those out of staters coming to R.I. to eat in R.I. restaurants and spend money in R.I. every time they come to see their boat.

Maybe I'm missing something, but anyone thinking of taxing boats in R.I. may want to do their homework regarding how GHW Bush all but destroyed the boating industry in this country costing 10 of thousands of jobs. The industry still has not recovered from that in this country.

People are leaving R.I. at a rate of ~9% per year. Taxing boats may be the final nail in the coffin that causes a billboard to be placed on 95 South....."Last one out of Rhode Island, please turn off the lights."
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That is all well and true. And the boatbuilding businesses in Mass, Maine, and New Hampshire have suffered along with RI.

But in the case I mentioned, the public outcry forced the Senator to voluntarily pay his sales and excise tax, (about $ 500,000.00) to Massachusetts. So from my perspective as a Mass taxpayer, I'm happy to see this loophole closed.

Henry
 
I guess I don't understand. What loophole. IIRC you had to have a slip in R.I. and spend at least "X" days per year in the state.

Kerry paid Mass Taxes by virtue of politics only. He does not own the boat. A company does. Had he not gone to Australia personally to see some of the construction, nobody would be any the wiser.
 
Send a thank you note to my senior senator......I hope to see him on Nantucket next summer on his yacht.........This summer, I might just yell what I think
 
If Kerrys boat was purchased in RI, the home port is in RI and principal usage is not in MA, I don't see why it's anyones elses business. Maybe he likes the area for boating.
 
Woody said:
If Kerrys boat was purchased in RI, the home port is in RI and principal usage is not in MA, I don't see why it's anyones elses business. Maybe he likes the area for boating.
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I think the Mass D.O.R was investigating claims that he had it on Nantucket, the principal use being in Mass were he has a house on Nantucket and Boston?

State Department of Revenue spokes guy Bob Bliss confirmed the senator “is under no obligation to pay the commonwealth sales tax.”

However, according to Bliss, if Kerry berths the Isabel in Massachusetts waters within six months of purchasing the boat, there’s a “presumption of use” and the Heinz-Kerrys would have to walk the plank and pony up to the Bay State. After six months, should the boat change its berth to, say, Nantucket, then it’s up to the state to go after them for the taxes, Bliss added.
 
Years ago I bought an airplane in NH no sales tax there. Kept it in mass. So they say you use it in mass......sales & use tax. Thats how they get ya!!

Mike
 
Kerry spokesman David Wade said Friday the boat is being kept at Newport Shipyard not to evade taxes, but "for long-term maintenance, upkeep and charter purposes."

Come on boys, I'm all for loop holes too, but worth a billion and Mass Senator....Use better judgement.....Funny how the boat was in nantucket all summer....He just got caught!!!
 
Amen..Amen///the sneaky millionare by MARIAGE is a tax dodger.....oh 2 b in ack and scream @ his pompous a--:huh::smt038:smt021
 
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