Connecticut Repeals Luxury Tax on Boats & Yachts

A repeal of the luxury tax on yachts that cost more than $100,000 was among the legislation that passed recently in Connecticut.

That development was among the details of a report that the lobbying firm for the Connecticut Marine Trades Association (CMTA) prepared for members of the trade group after the legislative session ended earlier this month.

The report from The Kowalski Group also said the sales and use tax exemption for winter storage was extended for two additional months, or 60 days. The budget and tax package permits boats to be in the state for as long as 60 days with no sales or use tax liability.

Governor Dannel P. Malloy signed the budget and tax bill on June 19 and the provisions are effective July 1.

The report also said rebuilding and protecting shoreline property after major storms will be streamlined in several bills that were passed. The laws will ease restrictions on shoreline homeowners so businesses can rebuild their homes and property after a storm.

The report said a bill to revise the state’s Clean Marinas program and streamline the application process also passed.