Three years ago the State of Maryland instituted a sales tax cap for yacht sales. The tax was and has been 5% but was capped at $15,000. A $300,000 boat would be $15,000 and a $400,000 boat would also be $15,000. The tax cap was temporary and had a “sunset date” of about June 1, 2016.
The State of Maryland recently voted to make the boat sales tax cap permanent. There will be however, a $100 increase to the cap annually. Therefore the cap is $15,000 this year and $15,100 in 2017 and $15,200 in 2018 and so forth…
Please give Bluewater a call in our Grasonville, Baltimore or Ocean City, Maryland offices if we can help you with this or anything else boat sales related.
