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The Royal Yachting Association (RYA) and British Marine have welcomed HM Revenue and Customs (HMRC) announcement of a six-month extension to the one-year grace period for Returned Goods Relief (RGR) previously put in place by the British Government.
The news yesterday (Thursday 25 March) extends the grace period for RGR until 30 June 2022 for all goods including recreational craft, regardless of when they left the UK, and follows representations from the RYA and British Marine asking for a three-year transition period.
Both organisations have argued that the one-year grace period effective from the end of the Brexit transition period, in respect of the three-year condition for RGR, was not sufficient — highlighting such issues as pandemic travel restrictions, Schengen Area immigration rules, insurance and the length of the sailing season.
This issue was central to a letter that the RYA and British Marine sent to the chief executive of HMRC in February, calling for a holistic approach to addressing the post-Brexit issues impacting on recreational boat owners and the British leisure marine industry.
Howard Pridding, the RYA’s director of external affairs, said: “The HMRC announcement is timely, as we have seen additional concerns from members about the new restrictions on leaving the UK announced this week.
"We will continue our constructive dialogue with HMRC on all outstanding post-Brexit issues, including the repatriation of boats that have not been in the UK under their current ownership, and look forward to receiving a full response from the HMRC chief executive on the points that we have raised.”
Lesley Robinson, CEO of British Marine, added: “This collaborative work with the RYA shows that together we can better influence matters affecting the leisure marine sector and boaters.
“Whilst we requested and set out a strong case for a three-year RGR transition period, the six-month extension is welcomed.
“However, given the current restrictions on international travel, we hope HMRC will demonstrate flexibility to the extension to allow all UK boat owners to return their boats in a safe weather window. This flexibility would also be welcomed by UK boat retailers and brokers in order to keep fulfilling the rising demand for second-hand boats in the UK.”
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