Jump to content

Welcome to TheMalibuCrew!

As a guest, you are welcome to poke around and view the majority of the content that we have to offer, but in order to post, search, contact members, and get full use out of the website you will need to Register for an Account. It's free and it's easy, so don't hesitate to join the TheMalibuCrew Family today!

Tennessee Boat Owners


BlastRlxi

Recommended Posts

Just picked up the new boat and need to register it. It is used and kept in Tennessee so I know I am supposed to register it there. I bought the boat in Ohio.

Does anyone know what is involved in registering the boat in Tennessee? Do I have to pay TN sales tax when I register or do I have to pay the difference between TN and OH sales tax? If not, does anyone know the fee to register?

I've heard that trailers are not required to be registered in TN. Is this true?

I would prefer to register it in TN but if it is way more expensive, I might just register it in OH.

Thanks.

Link to comment

Just picked up the new boat and need to register it. It is used and kept in Tennessee so I know I am supposed to register it there. I bought the boat in Ohio.

Does anyone know what is involved in registering the boat in Tennessee? Do I have to pay TN sales tax when I register or do I have to pay the difference between TN and OH sales tax? If not, does anyone know the fee to register?

I've heard that trailers are not required to be registered in TN. Is this true?

I would prefer to register it in TN but if it is way more expensive, I might just register it in OH.

Thanks.

You will need to pay the sales tax at your county clerks office. I can't remember what it is but probably something like 7%. However, you will need a Bill of Sale from the previous owner. If they are nice, they will cut you a deal on the bill of sale which will cut you a break on the sales tax. (You didn't hear this from me!) I think you might also need some of the boat information.. VIN numbers, Engine ID numbers, Trailer numbers, etc. After you pay the sales tax they will give you a sheet to fill out and send in to TWRA for your boat registration. All you have to do is send it in by mail with a check for 25 bucks (one years registration) and they will send back your numbers and registration.

Tennessee does not require you to register the trailer. I would make sure you have insurance coverage on the trailer though.

Also if you chose not to register it in TN, you will get pulled over every time a TWRA officer sees your boat and they have the right to give you a fine if they know you have been on TN waters repeatedly. (If you going to be in TN, register it in TN..)

Link to comment

You will need to pay the sales tax at your county clerks office. I can't remember what it is but probably something like 7%. However, you will need a Bill of Sale from the previous owner. If they are nice, they will cut you a deal on the bill of sale which will cut you a break on the sales tax. (You didn't hear this from me!) I think you might also need some of the boat information.. VIN numbers, Engine ID numbers, Trailer numbers, etc. After you pay the sales tax they will give you a sheet to fill out and send in to TWRA for your boat registration. All you have to do is send it in by mail with a check for 25 bucks (one years registration) and they will send back your numbers and registration.

Tennessee does not require you to register the trailer. I would make sure you have insurance coverage on the trailer though.

Also if you chose not to register it in TN, you will get pulled over every time a TWRA officer sees your boat and they have the right to give you a fine if they know you have been on TN waters repeatedly. (If you going to be in TN, register it in TN..)

Thanks for the info. The boat was bought new at a dealer in Ohio so I doubt they'll be able to help me much with purchase price amount. Since I already paid sales tax in Ohio, do I have to pay another 7% to TN or do I pay the difference between TN and OH?

I do have insurance on the trailer so I should be good there. Getting down to the county clerks office during working hours could be a problem. I have heard of people being pulled over for non-TN registration numbers but so far I've been lucky.

Link to comment

I would call any TN county clerk - they can answer all your questions right away. Call the county you are going to register it in and tell them what you have going on. TN's sales tax is 9.25% but I believe it is tiered somehow when buying boats.... at-least I know it is on used ones. Not sure about new ones.

Here is a number you can call - (865) 992-3081

Link to comment

I would call any TN county clerk - they can answer all your questions right away. Call the county you are going to register it in and tell them what you have going on. TN's sales tax is 9.25% but I believe it is tiered somehow when buying boats.... at-least I know it is on used ones. Not sure about new ones.

Here is a number you can call - (865) 992-3081

Thanks. I'll give them a call.
Link to comment

If you have paid sales tax in Ohio, why would you owe more sales tax in TN? I have never heard of such a thing. Every time someone moves they have ot pay sales tax again? No way.

Link to comment

If you have paid sales tax in Ohio, why would you owe more sales tax in TN? I have never heard of such a thing. Every time someone moves they have ot pay sales tax again? No way.

This what I found out. I paid Ohio sales tax when I bought the boat at 6.5%. Tennessee sales tax is 9.25%. If I register the boat in TN, I have to pay the difference in sales tax at the time I register. Taking into account the purchase price of the boat minus trade in (sold on consignment), I would owe an additional $600. I think I'll register it in OH and take my chances.
Link to comment

If you have paid sales tax in Ohio, why would you owe more sales tax in TN? I have never heard of such a thing. Every time someone moves they have ot pay sales tax again? No way.

I think he meant that he bought the boat in OH and it was registered in OH when he purchased it. I assumed he hasn't registered it in his name as of yet.

Blast: Here is a link that might give you an idea of what it will cost. http://www.countyclerkanytime.com/boat.htm

Link to comment

This what I found out. I paid Ohio sales tax when I bought the boat at 6.5%. Tennessee sales tax is 9.25%. If I register the boat in TN, I have to pay the difference in sales tax at the time I register. Taking into account the purchase price of the boat minus trade in (sold on consignment), I would owe an additional $600. I think I'll register it in OH and take my chances.

Good luck to you. I don't know what lake you ride on but I just purchased my boat and it was previously registered in MI. I'm still waiting on the registration through the mail. I've been pulled over 3 times already and I've only taken the boat out 3 times. Since I had the proof I paid sales tax and sent off registration I was let off each time but it's damn annoying. I would pay the 600 just for them to leave me alone.

Link to comment

This what I found out. I paid Ohio sales tax when I bought the boat at 6.5%. Tennessee sales tax is 9.25%. If I register the boat in TN, I have to pay the difference in sales tax at the time I register. Taking into account the purchase price of the boat minus trade in (sold on consignment), I would owe an additional $600. I think I'll register it in OH and take my chances.

You were told, that as an owner of a boat, with title in hand, and who has paid sales tax in the state of sale and in which you reside, that you owe additional sales tax on registering a boat in another state? Every person who has ever moved from one state to another and has to re-register cars, boats, whatever, could owe the "new" state additional "sales" tax where there was no sale?

Link to comment

You were told, that as an owner of a boat, with title in hand, and who has paid sales tax in the state of sale and in which you reside, that you owe additional sales tax on registering a boat in another state? Every person who has ever moved from one state to another and has to re-register cars, boats, whatever, could owe the "new" state additional "sales" tax where there was no sale?

You make a good point and the regs for TN don't talk about this. To be clear, the boat is a brand new 2012 model that has never been registered. At this point I am hoping to register it in OH and use it in TN. If I am ticketed and forced to reregister it in TN, then I hope I won't have to pay sales tax since it was previously registered in OH. Paying OH registration even if it was only for a short time would still be a lot cheaper than paying the sales tax difference. I would just have to change the registration numbers on the side of the boat.
Link to comment

Tennessee law requires that all mechanically powered vessels (including federally documented recreational vessels) and all sailboats which are principally used in Tennessee must be registered. (Boats are not titled in Tennessee.) Mechanical propulsion includes electric trolling motors but does not include boats powered only by oars or paddles. Boats which require registration must be properly registered before using them upon any public water of Tennessee.

Currently registered boats from other states may use Tennessee waters unless Tennessee has become their state of principal use.

If they believe Tennessee has become your principal state of use, You will get fined. You are also going to get pulled over a lot with an OH registration. TWRA looks for boats that don't have updated TN Registrations. Just not worth it IMO...

Edited by BoBeLiTe
Link to comment

Which state is your drivers license going to be in? Hard to explain a boat registered in OH if you were to have TN DL. Also if you were to keep it on a lift at the lake for an extended period of time a them seeing it day in, day out in TN.

Link to comment

You make a good point and the regs for TN don't talk about this. To be clear, the boat is a brand new 2012 model that has never been registered. At this point I am hoping to register it in OH and use it in TN. If I am ticketed and forced to reregister it in TN, then I hope I won't have to pay sales tax since it was previously registered in OH. Paying OH registration even if it was only for a short time would still be a lot cheaper than paying the sales tax difference. I would just have to change the registration numbers on the side of the boat.

At the "conclusion" of the sale, which was consummated in Ohio, the dealer did not apply for the registartion for you? what about title-work? Do you have a title in Ohio?

Link to comment

Drivers license and our primary residence is in OH. Dealer will register the boat in OH if I want them to. If I choose to register in TN, then I have to do it myself. The dealer is located in OH.

The boat will be on a lift but I've never seen any of the patrol boats in our cove. they seem to stick to the main channel and around the marinas. We had our old boat with OH numbers down there for the last two years without any issues. I was just trying to follow TN regs but I don't know if it is worth $600. If I get fined than I may have to rethink it.

Link to comment

Drivers license and our primary residence is in OH. Dealer will register the boat in OH if I want them to. If I choose to register in TN, then I have to do it myself. The dealer is located in OH.

The boat will be on a lift but I've never seen any of the patrol boats in our cove. they seem to stick to the main channel and around the marinas. We had our old boat with OH numbers down there for the last two years without any issues. I was just trying to follow TN regs but I don't know if it is worth $600. If I get fined than I may have to rethink it.

Our past 2 boats have been primarily at Norris over the past 6 years without any issue. The TWRA has not bothered us, they are used to the Ohio navy.

Link to comment

do you have a title in Ohio?

Yes

Pretty sure I just paid the difference in State Sales tax I paid when I registered a Sea-Doo bought in MS.

That's what I would have to do in TN but their sales tax is nearly 3% higher which is a significant amount of money. Hopefully, I'll be able to get by with an OH registration. I think I'll only have a problem if they see it on the lift.
Link to comment

I'm still not following how a state can charge sales tax when the sale has not taken place in their state and you are not a resident. Are you sure whoever you spoke to was clear on all that? Can someone from Tennessee confirm that if you lived in a previous state that upon moving to Tennessee that they they analyzed the sales tax you paid on all your assets and you owed the difference? I simply can't see how that is accurate.

Link to comment

The tax is due on items (motorized vehicles and trailers) that are licensed and operate primarily in that state or owned by a resident of that state. I am not sure when the sales tax state burden expires on a motor vehicle/boat/trailer/RV).

As for the boat sitting on the lift, a good cover that covers any state markings would be prudent. Do you own the residence where the boat lift sits in the state of TN? Other than that potential detail, you are clearly an Ohio resident and not a TN resident.

Edited by Woodski
Link to comment

I'm still not following how a state can charge sales tax when the sale has not taken place in their state and you are not a resident. Are you sure whoever you spoke to was clear on all that? Can someone from Tennessee confirm that if you lived in a previous state that upon moving to Tennessee that they they analyzed the sales tax you paid on all your assets and you owed the difference? I simply can't see how that is accurate.

I think the issue comes down to whether you are moving from out of state into TN and then trying to register your boat in TN as a new resident. In this case, you are right. I wouldn't see how they could justify it and the sales tax issue may not come into play. I think the sales tax issue only applies on boats that have never been registered or if you buy a boat out of state and then try to register it as a new owner in TN. The state of Tennessee wants to make sure they get their sales tax one way or another. I guess it's their way of trying to keep people from going out of state to buy a boat due to cheaper sales tax in neighboring states.
Link to comment

In TN we don't have a state income tax so they stick you at the DMV and for other purchases @ 9.75%. If you move to TN to register a boat or license a vehicle it will cost you the full tax on a new vehicle or the assesed value on a used vehicle. They pulled out the KBB if IIRC, and if you have a bill of sale below book value the witch hunt begins! If you paid tax from another state, they will charge you the difference of the assesed value. Just bought a new Tahoe last week in KY and TN got their taxes! Its a B.S. tactic to get money especially when you are paying at the pump and on property taxes, but the alternative is a yearly state income tax. I only pay $54.00 a year per wheeled vehcile, and $27.00 a year for the boat, so I guess I wont complain.

Link to comment

The tax is due on items (motorized vehicles and trailers) that are licensed and operate primarily in that state or owned by a resident of that state. I am not sure when the sales tax state burden expires on a motor vehicle/boat/trailer/RV).

As for the boat sitting on the lift, a good cover that covers any state markings would be prudent. Do you own the residence where the boat lift sits in the state of TN? Other than that potential detail, you are clearly an Ohio resident and not a TN resident.

We do own the house where the boat is kept on a lift but it is not our primary residence. Where they could get us is that the boat is primarily used in TN. However, at the end of the season, the boat comes off the lift and goes into the garage at the lakehouse. Maybe if they don't see it on the lift they'll figure I took it back to OH to use there over the winter. :)
Link to comment

In TN we don't have a state income tax so they stick you at the DMV and for other purchases @ 9.75%. If you move to TN to register a boat or license a vehicle it will cost you the full tax on a new vehicle or the assesed value on a used vehicle. They pulled out the KBB if IIRC, and if you have a bill of sale below book value the witch hunt begins! If you paid tax from another state, they will charge you the difference of the assesed value. Just bought a new Tahoe last week in KY and TN got their taxes! Its a B.S. tactic to get money especially when you are paying at the pump and on property taxes, but the alternative is a yearly state income tax. I only pay $54.00 a year per wheeled vehcile, and $27.00 a year for the boat, so I guess I wont complain.

Even the yearly rate is higher in TN. I can register my boat in OH for 3 years for $48! What you're saying is exactly what they told me when I talked to the county clerk's office.
Link to comment

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Restore formatting

  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...