Build a boat ... be a dealer

[southkogs]

Just saw this news story today: http://www.wsmv.com/story/16773393/state-threatens-suit-against-boat-hobbiests I was thinking about doing a similar project with my son next year or the following ... now I'm thinking I might have to shift gears.

Before I completely rant on my state government for something so stupid (not that I've formed an opinion ), help me see if I'm missing anything.

Some people who restore/rebuild cars wind up getting dealer status. There are some advantages for them, but I'm not sure what they are. Can y'all think of any potential advantage to someone becoming a boat dealer?

 

[Cheetah 210es]

Re: Build a boat ... be a dealer

Wth????

 

[southkogs]

Re: Build a boat ... be a dealer

BTW - I've contacted my Rep and Senator to ask the same thing. My Rep has already gotten back to me to say he's looking into it - doesn't make sense to him either.

 

[scrit9mm]

Re: Build a boat ... be a dealer

to be a dealer here in bama you have to get proper garage liability insurance and surety bonds. good for about 1500/yr. It's a hassle to say the least. There's got to be another way. Good luck!

 

[tomdinwv]

Re: Build a boat ... be a dealer

Man that's crazy.

 

[GA_Boater]

Re: Build a boat ... be a dealer

This is insane! The article has a pic of the 7 year old with a nice stringer of fish. He better watch out because it's proof that he is a commercial fisherman. And if he cooks them would make him a restaurateur and here come the health inspectors.

 

[Cheetah 210es]

Re: Build a boat ... be a dealer

WooHoo....... When I was a kid I built loads of model planes, sooooooo I guess I'm a commercial airline operator now.

 

[JB]

Re: Build a boat ... be a dealer

I think there must be more to this story than is being circulated.

I have never heard of this sort of thing being applied to boat hobbyists before but I have had car hobbyist friends fined and required to buy dealer licenses and pay taxes because they bought and sold too many cars in a year. I don't remember how many car transactions were involved or if there were any other factors that put them in that category.

If the news story is correct, and that is all the relevant facts, some bureaucrat misunderstood a law or misunderstood Mr. King's project. I would say let 'em sue, but make sure to counter sue for whatever they call stupid litigation in TN.

 

[tswiczko]

Re: Build a boat ... be a dealer

Sounds like he is being taxed twice since he probably paid a sales tax on the material he bought to build the boat. I thought they couldn't do that.

 

[idonthaveaname]

Re: Build a boat ... be a dealer

So if my wife bakes a cake in the house we are now a bakery?

If we wash clothes, we are now a laundry mat?

If we paint a bedroom, are we now professional painters?

Sounds like the stupidity of government.

No worries, it is rampant across the world.

 

[tpenfield]

Re: Build a boat ... be a dealer

Just saw this news story today: http://www.wsmv.com/story/16773393/state-threatens-suit-against-boat-hobbiests I was thinking about doing a similar project with my son next year or the following ... now I'm thinking I might have to shift gears.

Before I completely rant on my state government for something so stupid (not that I've formed an opinion ), help me see if I'm missing anything.

Some people who restore/rebuild cars wind up getting dealer status. There are some advantages for them, but I'm not sure what they are. Can y'all think of any potential advantage to someone becoming a boat dealer?

Not knowing the specific laws that may apply, but . . . . How would the TN Dept of Revenue even know that he bought a 'kit' boat ???

 

[jeeperman]

Re: Build a boat ... be a dealer

Being a dealer allows you to buy at many auto auctions.
For traded in vehicles and salvage vehicles also.
Sometimes only a license or permit to repair is required.

The subject article certainly reads like that state angency is really over-stepping the law.

Would he not have to sell the boat they built in order to actually be a "dealer" of any sort ?

 

[jeeperman]

Re: Build a boat ... be a dealer

Not knowing the specific laws that may apply, but . . . . How would the TN Dept of Revenue even know that he bought a 'kit' boat ???

Maybe when he went to register it, he had now certificate-of-origin to present.
Then he told them he built it which I guess equates to "he manufactured it" to those desk jockeys.

 

[southkogs]

Re: Build a boat ... be a dealer

Maybe when he went to register it, he had now certificate-of-origin to present.
Then he told them he built it which I guess equates to "he manufactured it" to those desk jockeys.

That's exactly what happened. He went to tell the state, "hey, I got one..", registered the boat and then the state started sending letters a few weeks later. And now he's on the hook as a dealer - supposedly.

Like I said, I contacted my state rep to see if there was more to it. For the moment, I was really looking to see if there were any advantages to being "a dealer."

Thanks y'all.

 

[aspeck]

Re: Build a boat ... be a dealer

As a manufacturer he would be required to have liability insurance on the craft in case of a catrostrophic event happening because of a manufactured defect. This may be part of the "reasoning." I don't know, just grasping at straws. I know what we have to do in PA to get a title for a homemade trailer, etc. There has to be inspections and proof of roadworthiness. MAYBE that is their intent. I have not idea.

I am with JB ... I want to know what more their is to the story, including the reasoning behind the manufacturer designation.

 

[southkogs]

Re: Build a boat ... be a dealer

In Tennessee, you don't actually title a boat or a trailer (we don't even have license plates for trailers unless they're commercial or you drive 'em outta' state). That's why I can't think of a reason there would be an advantage to being a dealer - not even for sea trials on something your rebuilding.

Heck, this state has quite the aviation community and they're building homemade airplanes all over this state. I haven't heard that they're all aircraft dealers, y'know?

 

[hostage]

Re: Build a boat ... be a dealer

If he decides to throw in the towel and pay the "dealer fees", then he will get arrested for breaking child labor laws.

 

[Fly Rod]

Re: Build a boat ... be a dealer

just build it for yourself, register it in your name plunk it in the water and put a for sale sign on.

 

[southkogs]

Re: Build a boat ... be a dealer

If he decides to throw in the towel and pay the "dealer fees", then he will get arrested for breaking child labor laws.

Never thought of that ... LOL (sorta')