USCG boat owners are responsible for educating themselves on the meaning of the term “documented vessel” and how it may affect them. “One that has been issued a marine document by the Coast Guard which evidences the boat’s nationality and compliance with relevant rules and regulations,” the United States Coast Guard (USCG) defines a documented vessel as “one that the Coast Guard has issued a marine document.” Being the owner of an adequately documented vessel has several advantages, including simplified travel between nations and lower tax obligations. If you own a boat registered with the US Coast Guard, it is imperative that you fully understand what it takes to have your boat documented according to tufts.edu. If you are the owner of a USCG boat, you are aware of the significance of having an adequately recorded vessel. But why is it of such critical significance? The following is a list of the reasons why you are required to record your boat:
A Documented Vessel Proves That You’re the Legal Owner
Getting the relevant authorities to document your boat formally is referred to as documentation. Reconsider that assumption if you’re under the impression that this isn’t anything you should be concerned about right now. If you ever decide to sell your boat or are pulled over by the Coast Guard or other law enforcement officers, you must provide paperwork. It is vital to document a vessel to verify that it is legal and that the owner has received all of the appropriate documents once it has been constructed or bought to ensure that the vessel is lawful. It may also assist you in the sad event that you are involved in an accident, mainly if the mishap occurs on open water or in another state.
Documentation May Assist Substantiate Boat Ownership in Insurance Claims or Legal Proceedings.
Should something happen to your boat, having the proper documents on hand will assist you in proving ownership in the event of an insurance claim or legal process? If you cause an accident on the water and another person sustains injuries, as a result, you may find yourself the target of a legal claim. Having your vessel registered may provide proof that you are the legal owner, which can reduce the possibility of a legal dispute. If there is no record of who owns the vessel, police authorities may choose to confiscate it and put it up for auction if they consider it a threat to public safety.
If You Ever Want to Sell Your Boat, Documentation Can Increase Its Value
If you ever decide to sell your boat, having documentation on hand can help you get more money for it. A given vessel (such as its age) is more valuable on the open market if it has a large volume of paperwork. In addition, having a documented vessel helps protect your investment from being stolen or damaged while it is being stored or transported between different locations. Some kinds of boats are more common than others, and some cost more than others. Some boats have more amenities than others. Before settling on a price for your boat, you should first determine its current state of repair to get an accurate idea of its market value. A documented vessel is simpler to sell because potential purchasers will have a simpler time identifying the type of vessel they are considering purchasing and determining whether or not it is worth their time and money.
Documentation Makes It Easier and Quicker to Register Your Boat in Other States or Countries.
Registering your yacht in other nations or states will be simpler and take less time if you have the proper documentation. When you purchase a new boat from a dealer, they will take care of the paperwork involved in the transaction on your behalf. This will be of particular use to you if you reside in a state that needs extra registration application fees to be paid. If you purchase and register your boat in one state, then move it to another state that does not need an extra application cost for registration, you may save some money by doing both of these things in the same state. You can sell your boat without paying taxes on the selling price if you have the proper documentation, provided that the boat was not previously taxed as personal property in the state in which it was acquired.
As a result, U.S. Vessel Documentation streamlines the registration process and puts your mind at ease, knowing that your documented vessel will always be protected. For more information about U.S. Vessel Documentation, contact us at (800) 340-7580 or fill out our inquiry form, and we will promptly get back to you with an answer to all of your questions.
