Welcome to Carver Yachts Owners Forum

We are a boating forum for owners of Carver Yachts to enthusiastically discuss all aspects of Carver Boat ownership. Whether you are looking for your first Carver or currently own one, you are sure to feel at home on CarverYachtOwners.com

You are currently viewing our board as a guest which gives you limited access to view most discussions, articles and access our other FREE features. By joining our free community you will have access to searching the forum topics, post topics, communicate privately with other members (PM), respond to polls, upload your own photos and access many other special features. Registration is fast, simple and absolutely free so please, join our community today!

Tax value of a cruise?

ImageThis forum is for general discussion of all things Boating. If it's boating related and doesn't fit in another forum, post it here!
User avatar

Topic author United States of America
Scurvy Dog
Scurvy Dog
Posts: 20
Joined: July 26th, 2015, 11:03 pm
Vessel Info: 1995 Carver 390 CPMY
Has thanked: 5 times
Been thanked: 3 times

Tax value of a cruise?

Postby boatingbob » February 24th, 2016, 5:39 pm

Hi All!

Here's an odd question for you: some friends asked if we'd be willing to host an afternoon cruise on our Carver 390 CPMY as an auction item for a local choral groups fundraiser auction. They mentioned that I could write off the value of the excursion as a charitable deduction.

I'm intrigued, but I'm not sure what value to put on it. Obviously there's the estimated fuel burn, but I'm sure I could (and should) factor in an amount for wear & tear, cleaning of the boat, etc.

Has anyone done something like this, and if so, what tax value did you put on it (and were you audited?)?


User avatar

United States of America
CYO Moderator
CYO Moderator
Posts: 2404
Joined: February 5th, 2013, 9:24 pm
Vessel Info: 1995 Boston Whaler Rage15
1987 3697 Carver Mariner
1988 Cougar 46 Kevlar Vee offshore
1969 15' Glasspar / 1967 Johnson Electromatic 85
1996 Boston Whaler Rage 15
Location: Saint Joseph,Mi
Has thanked: 50 times
Been thanked: 395 times

Re: Tax value of a cruise?

Postby waybomb » February 24th, 2016, 6:23 pm

Talk about opening a can of worms if one of those people were actually injured or allegedly injured.
Be careful with this.
I also wonder how that works out when the passenger paid for the trip. Is that the same as a charter even though you are not paid? Do you have a license?

Sorry for a cynical response.
1969 Glaspar Avalon /1969 Johnson Electromatic 85
1987 Carver Mariner
1988 Cougar Kevlar 46' with triple blown 572 ci
1995 Boston Whaler Rage
Past - 1988 2807, 1989 4207 Aft
User avatar

After Taxes
Deck Hand
Deck Hand
Posts: 84
Joined: September 21st, 2014, 9:55 am
Vessel Info: 'After Taxes'
2004 Carver Mariner 360
Lake Simcoe & Georgian Bay,
Ontario, Canada
Location: Lake Simcoe Marina
Has thanked: 6 times
Been thanked: 17 times

Re: Tax value of a cruise?

Postby After Taxes » February 24th, 2016, 7:56 pm

Fred gave you wise words.
As for charity, you can only deduct the amount that is on an official donation receipt from a registered charity. The Feds are unlikely to accept a dollar number that you make up.
I'm currently in the income tax business.

That said, the idea is horrendous in terms of liability to you personally and may invalidate your standard personal-use watercraft insurance policy.
2004 Carver Mariner 360
MerCruiser MX 6.2
Lake Simcoe, Ontario

User avatar

Posts: 421
Joined: May 14th, 2014, 6:32 am
Vessel Info: 2001 350 Mariner
Location: Beacon Bay Penetanguishine Ontario
Has thanked: 52 times
Been thanked: 64 times

Re: Tax value of a cruise?

Postby feeez » February 24th, 2016, 11:10 pm

This deal should get covered in "10 foot pole marks". The Lawyers would be salivating if something ever went wrong. I would stay away from that one.
Former 2001 350 Mariner owner

United States of America
CYO Supporter
CYO Supporter
Posts: 2284
Joined: March 28th, 2016, 10:52 pm
Vessel Info: 1998 Carver 355
Suspicious Fishes !
2022 Kawasaki 310X
Location: upper chesapeake bay
Has thanked: 310 times
Been thanked: 580 times

Re: Tax value of a cruise?

Postby tomschauer » March 30th, 2016, 12:17 am

Hi Bob. If you carry passengers for "hire", the hire being a tax deductible expense, you would need to have a coast guard captains license for the number of passengers. A "6 pack " license is the most common allowing you to carry six passengers.
As the others have noted, insurance will also be an issue. If you read the fine print on your policy, I am certain you are not covered as charter of for hire vessel, or you would not be asking this question. As such, if anything were to happen your insurance company would not be liable, leaving you and your personal assets to foot the bill.
Unforunately, it not always the best idea to be the nice guy.
User avatar

Posts: 657
Joined: July 29th, 2013, 11:35 pm
Vessel Info: 2000 Carver 506
Location: Georgian Bay
Has thanked: 124 times
Been thanked: 138 times

Re: Tax value of a cruise?

Postby Lyndon670 » April 2nd, 2016, 4:27 pm

Well said Tom. In Canada, it is a Master's Limited license as minimum requirements anytime carrying passengers for hire. I am currently in the process of completing the mandatory hour requirement for the Masters after completing the classroom and practical exams in 2015.

Without anything going wrong, you could be in a world of hurt from enforcement officers without being properly licensed.
2000 Carver 506
Volvo 7.4TAMD
Queens Cove Marina
Georgian Bay, Ontario
User avatar

Scurvy Dog
Scurvy Dog
Posts: 3
Joined: April 6th, 2016, 6:31 pm
Vessel Info: Currently looking for a boat
Location: California

Re: Tax value of a cruise?

Postby jporta » April 12th, 2016, 12:28 pm

I have done this a couple of times for the local school. After talking to my insurance and Coast Guard, It came out that as long as you personally don't derive any financial benefits it's OK to do it and it is legal.
Just to make sure, ask your insurance and local Coast Guard office.
For sure, no tax deduction.

Return to “General Boating Discussion”

Who is online

Users browsing this forum: No registered users and 4 guests