[01-yellow-ZX3]

Okay, stupid question guys...

When buying a used car from a dealership, do you only pay GST? This is at the time of purchase, or when you register?

Same goes for private sales?

[nass]

01-yellow-ZX3,Mar 23 2006 Wrote:Okay, stupid question guys...

When buying a used car from a dealership, do you only pay GST?  This is at the time of purchase, or when you register?

Same goes for private sales?
[right][snapback]176486[/snapback][/right]

From a dealer it's right away and you pay the PST for sure and if I remember the GST

Private sales you only pay one tax PST I believe and it's at the registration. You can play with the value a bit and save some taxes.

this might help you

[NefCanuck]

nass,Mar 22 2006, 09:11 PM Wrote:

01-yellow-ZX3,Mar 23 2006 Wrote:Okay, stupid question guys...

When buying a used car from a dealership, do you only pay GST?  This is at the time of purchase, or when you register?

Same goes for private sales?
[right][snapback]176486[/snapback][/right]

From a dealer it's right away and you pay the PST for sure and if I remember the GST

Private sales you only pay one tax PST I believe and it's at the registration. You can play with the value a bit and save some taxes.

this might help you
[right][snapback]176492[/snapback][/right]

One caution about "playing with the value" on a private sale to save on PST. When you register the car you have to pay PST on the red book value of the car between the low & high ranges for that car adjusted for its condition (The Used Vehicle Information Package that the seller MUST furnish to the buyer when completing the sale) If you disagree with the values you have to pay to get an appraiser to declare a lesser value in writing.

NefCanuck

(Note: The above applies only to ONT, YMMV in other provinces(

[mo_focus]

dealers, you pay 15%
private you pay only one tax, PST i think

Claim the real value of the vehicle you bought. Incase anything happens to the car, guess what the insureance is gona pay you?

[Casper]

Kay, a few things about the above posts.... I work for a vehicle leasing company that operates coast to coast, so I do this every day...

Every province is different. Being in Manitoba, he'll only pay 14% tax. Also, not all provinces charge you on book value. Here in BC, they charge you whatever you claim the car was sold for. Manitoba and Sask are generally the same, as we all have Public insurance.

Claiming a stupidly low value may attract some attention, but you could always say the seller totalled it in an at-fault accident, and didn't place a claim. Tell them you're buying for salvage or something.... they won't care.

In every province, though, the above statements is true. At a dealer, you'll pay all the taxes up front, and in a private sale, the PST is charged at time of transfer.

[nass]

yeah I purchased 2 cars privately and each time they just wanted to see the odo reading and the bill of sale. I saved myself a bundle having the bill of sale lower than the buying price. BUt like someone said don't go way under or they'll make you pay the book value which they can do if the purchase price is lower.

[SVT ZX3]

01-yellow-ZX3,Mar 22 2006 Wrote:Okay, stupid question guys...

When buying a used car from a dealership, do you only pay GST?  This is at the time of purchase, or when you register?

Same goes for private sales?
[right][snapback]176486[/snapback][/right]

For Manitoba residence.....

From the dealer its either PST & GST to straight to them or, GST to them and PST to MPI......

Private sale, its only the PST to MPI when you register it....

And as stated above, you pay on the black book value or the price of your purchase, which ever is higher.