Jump to content
Crew.org.nz

Overseas Voyage Certificate (Cat 1)


Recommended Posts

I was wondering if anyone has any updates on how the new system of Overseas Voyage Certificate has been operating (the system that replaced Cat1)?

 

Link to post
Share on other sites

Sorry, it has probably been said before....

If you do go Polish or whatever other offshore flag, do you then have to leave Nz every two years or pay duties?

Or because the boat was built in NZ there is nothing to pay?

Link to post
Share on other sites

The people I've spoken to have said it was simple. I don't know yet if there's a  list of must haves like the old ynz book.

Link to post
Share on other sites
2 hours ago, Pecco said:

Sorry, it has probably been said before....

If you do go Polish or whatever other offshore flag, do you then have to leave Nz every two years or pay duties?

Or because the boat was built in NZ there is nothing to pay?

Hi

Our yachts have all been registered overseas and our current OVNI is registered in Poland.

The country of registration makes no difference on duty paid status. If your boat is duty paid then there is no duty to pay when you re-enter NZ regardless of registration.

There is no limit on time a duty paid vessel can be in NZ. The registration makes no difference.

people often get duty paid confused with vessel registration. Two different items.

However if you buy a NZ duty paid boat while it is out in NZ be prepared to pay duty on it when you return. And if you are nd NZ citizen registering a boat offshore to temporarily bring in a non duty paid boat be prepared to duty on arrival. 
 

our boats are all dity paid and we make great pains to keep prove if this e.g. vessel history in NZ, bill of sale, mooring receipts, duty receipt etc. 

happy sailing

Link to post
Share on other sites

Thats confusing , so if the boat was built here and paid gst etc then later sailed offshore for a year or so then I purchased it overseas and sailed her home again -you are saying that I as a NZ citizen am up for duty again???  Not my understanding of the rule.

Link to post
Share on other sites
22 minutes ago, waikiore said:

Thats confusing , so if the boat was built here and paid gst etc then later sailed offshore for a year or so then I purchased it overseas and sailed her home again -you are saying that I as a NZ citizen am up for duty again???  Not my understanding of the rule.

Yes. It's about where the transaction took place. 

You are importing the boat for the first time as a new owner so duty is payable. 

If you want to avoid this you need to get the original exporting owner to import it and then make the transaction occur in NZ.

The exporting owner has to of course be able to re-import duty free which they won't be able to do if there intention is to avoid duty on resale. If they import it and sail it for 6 months then sell it to you that would be OK. Otherwise it's tax avoidance. 

Link to post
Share on other sites

Tarus logistics website has a good capture on what the likely taxes are but they say if we don't have a free trade agreement with the country of manufacture then its likely to be  5 %  duty plus GST . If that's not draconian enough they add the freight cost and insurance  e.g  by way of  example say $200K boat, plus $25,000 freight, plus $5000 insurance it seems you would pay 20% of $230,000 ! ferk thats $46,000 down the gurgler., brutal.

Link to post
Share on other sites

Even if the yacht was never 'exported just sailed off on a cruise'  owned by kiwis when left and owned 

by kiwis on return? I find that hard to believe the boat is NZ registered . 

Link to post
Share on other sites
31 minutes ago, waikiore said:

Even if the yacht was never 'exported just sailed off on a cruise'  owned by kiwis when left and owned 

by kiwis on return? I find that hard to believe the boat is NZ registered . 

Yup it does suck but is the same in most countries and catches people out sometimes. As Carpe Diem states you need to manage where the sale transaction takes place e.g. you may sail the vessel back to nz on behalf of the previous owners and then, once it is back in NZ, undertake the sale/purchase. 
Overall the thing to remember is that registration is no guarantee of duty paid status.
 

Link to post
Share on other sites
5 hours ago, Frank said:

Tarus logistics website has a good capture on what the likely taxes are but they say if we don't have a free trade agreement with the country of manufacture then its likely to be  5 %  duty plus GST . If that's not draconian enough they add the freight cost and insurance  e.g  by way of  example say $200K boat, plus $25,000 freight, plus $5000 insurance it seems you would pay 20% of $230,000 ! ferk thats $46,000 down the gurgler., brutal.

In fact its even worse than that, they add the 5% duty on first and then add the 15% gst to that total. Tax on tax. 

200k+25k+5k =230

230k+5%= 241.5k

241.5k + 15% =277.7k

$47.7k to inport 

 

Link to post
Share on other sites

I'm growing to love copilot and other AI...

 

Copilot
 

Yes, if you bring a yacht into New Zealand from Fiji—even if the seller is a New Zealand citizen—you will generally be required to pay import duty and Goods and Services Tax (GST) unless specific exemptions apply.

Key Points:

1. Duty and GST Obligations

  • Import Duty: Typically 5% of the yacht’s value.
  • GST: 15% of the yacht’s value, including the duty 
    1
    .
  • These charges are calculated based on the value of the yacht at the time of importation, which can be adjusted for depreciation if you’ve owned the vessel for a period before import 
    1
    .

2. Depreciation Allowance

  • If you’ve owned the yacht for more than three months, you may apply depreciation to reduce the dutiable value.
  • Depreciation is calculated at 10% per year of ownership, up to a maximum of 80% 
    1
    .
  • If owned for less than three months, no depreciation is allowed 
    2
    .

3. Free Trade Agreement (FTA) Exemption

  • If the yacht was manufactured in a country that has a Free Trade Agreement with New Zealand, the 5% duty may be waived 
    1
    .
  • Fiji does not currently have a comprehensive FTA with New Zealand that covers yachts, so duty is likely applicable unless the yacht was built in an FTA country.

4. Relevant Legislation

  • The Customs and Excise Act 2018 governs the importation of goods, including yachts, into New Zealand 
    3
    .
  • Key sections include:
    • Section 100: Duty on imported goods is a debt owed to the Crown.
    • Section 101–104: Customs valuation rules.
    • Section 142–144: Refunds and remissions of duty.

You can view the full legislation here: Customs and Excise Act 2018


 

You said:
The yacht was built in New Zealand and is New Zealand registered.
Copilot said:
 
Copilot
 

Since the yacht was built in New Zealand and is New Zealand registered, you may be eligible for exemption from import duty when bringing it back into New Zealand from Fiji. However, GST (15%) will still apply.

 Import Duty Exemption

According to New Zealand Customs guidance and maritime law experts:

  • Vessels manufactured in New Zealand are exempt from the 5% import duty, regardless of where they are being re-imported from 
    1
     
    2
    .

⚠️ GST Still Applies

  • GST at 15% is still payable on the Customs value of the yacht at the time of importation 
    1
    .
  • This value can be depreciated if the yacht has been owned for more than three months. Depreciation is typically 10% per year, up to a maximum of 80% 
    1
    .

📜 Relevant Legislation

The Customs and Excise Act 2018 governs these rules:

  • Section 100: Duty on imported goods is a debt owed to the Crown.
  • Section 101–104: Customs valuation rules.
  • Section 142–144: Refunds and remissions of duty. You can view the full Act here: Customs and Excise Act 2018 
    3
    .

Summary:

  • No import duty due to NZ manufacture.
  • GST (15%) is payable on the depreciated value.
  • Ensure proper documentation and valuation when re-importing.
  • Upvote 1
  • Downvote 1
Link to post
Share on other sites
11 hours ago, waikiore said:

Even if the yacht was never 'exported just sailed off on a cruise'  owned by kiwis when left and owned 

by kiwis on return? I find that hard to believe the boat is NZ registered . 

Yep. 100%

The yacht is exported when you sail out. You're taking it with you so it's exported. When you import it again as the owner who exported it. You get a duty exemption as you are returning with a vessel that you exported. 

If you traveled overseas, purchased the vessel, when you return duty is payable.

When I say "duty" I mean import taxes of all kinds. These might vary depending on what's already been paid on the boat. Where it was built, if it's been imported before.  But GST is always payable. 

There's a few documented examples on this forum actually. Search up Kick the Elliott 1050.

  • Downvote 1
Link to post
Share on other sites
3 hours ago, Elenya said:

Just to bring us back on task has anyone got any first hand experience with the new voltage certificate system?

Yep. Been through it with a friend.  Not my vessel but I was along for the ride. Pretty straight forward actually...

It's pretty well documented on the MNZ website and works just like it. 

  • Upvote 1
Link to post
Share on other sites
22 hours ago, CarpeDiem said:

Yep. Been through it with a friend.  Not my vessel but I was along for the ride. Pretty straight forward actually...

It's pretty well documented on the MNZ website and works just like it. 

Same for my customers who have done it. They say considerably easier than Cat1 was...

  • Upvote 1
Link to post
Share on other sites

I got my IVC last April. The process was straightforward, particularly since I had been working towards Cat1 for several years before YNZ handed responsibility back to Maritime NZ. The only unforeseen item was the need to install a radar in order to “maintain an adequate watch at all times”. This was because I was doing the passage to Tonga single-handed. Rather than fight MNZ, I sucked it up and threw another $5k at the boat. (I actually found the radar pretty useful with its guard zone/ alarm to provide forewarning of incoming squalls). IMHO, most of the Cat1 / IVC safety requirements make sense and are consistent with managing the risks of an offshore passage..

  • Like 1
Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×
  • Create New...