Question about PST on private vehicle sale

[eljay]

Here's my stupid question of the day:

I'm in Nova Scotia. If I buy a car in Ontario, am I paying 14% HST on it upon registration or just PST portion of the HST?

I'm confused because since the HST implementation, I haven't seen PST mentioned anywhere and on the DMV wesbite is says that provincial sales tax will be applied to the red book value or purchase price, whichever is greater.

I'm just trying to find the rate for provincial tax.

Thanks.

[ES_Revenge]

Here's my stupid question of the day:

I'm in Nova Scotia. If I buy a car in Ontario, am I paying 14% HST on it upon registration or just PST portion of the HST?

I'm confused because since the HST implementation, I haven't seen PST mentioned anywhere and on the DMV wesbite is says that provincial sales tax will be applied to the red book value or purchase price, whichever is greater.

I'm just trying to find the rate for provincial tax.

Thanks.
In ON we do not have HST. PST is 8% and GST is, of course, 7% as it is throughout the country. [Edit: Yes I am stoopid, LOL, that should read 6% GST as it is throughout the country ;) ]

If you are physically purchasing the car in Ontario yourself, I believe ON/MTO rules will apply, so you might want to look on the MTO website as well (if you haven't already--I'm confused as to whether you were looking only on Nova Scotia's sites and as to other details of the purchase which would determine what taxes you have to pay).

[tidus888]

In ON we do not have HST. PST is 8% and GST is, of course, 7% as it is throughout the country.


ER... have you been ripped off for the last.. 9 months?.... GST is 6% since July of 2006...

LOL

[eljay]

In ON we do not have HST. PST is 8% and GST is, of course, 7% as it is throughout the country.

If you are physically purchasing the car in Ontario yourself, I believe ON/MTO rules will apply, so you might want to look on the MTO website as well (if you haven't already--I'm confused as to whether you were looking only on Nova Scotia's sites and as to other details of the purchase which would determine what taxes you have to pay).

So, I would pay PST in Ontario and then GST upon registration in Nova Scotia???

[techwiz]

I don't think you will need to register the car in Ontario, and can register it in Nova Scotia directly. For example, when Ontario residents buy a car from Quebec, they bring the Quebec ownership to the MTO - they don't register the vehicle in Quebec first. But I guess you should check with the DMV in NS to see how things work there.

[ES_Revenge]

ER... have you been ripped off for the last.. 9 months?.... GST is 6% since July of 2006...

LOL

LOL Oops! It most certainly is! My goof! Been stuck with that 7% in my head for so many years now...

[ES_Revenge]

So, I would pay PST in Ontario and then GST upon registration in Nova Scotia???

Yeah I have no idea, lol. I'm sure a call to the Ministry of Transportation Ontario or the Nova Scotia equivalent (or both?) should clear that up for you though, if no one here replies with the answer...

[Chris101]

You only pay the PST if you're buying from a dealer. Buying Private you'll only pay the GST in your Province.

[hOrnizuka]

i thought u pay 2 taxes in dealership no matter used or new.

[marty5898]

You only pay the PST if you're buying from a dealer. Buying Private you'll only pay the GST in your Province.


At the dealer you pay both. In Ontario, you only pay the PST when you register the vehicle. It is based on the great of the wholesale price or the purchase price of the vehicle (find it on the Used Vehicle Information Package). For example, if the wholesale is $1800 you pay PST on this amount not the $1200 for which you bought it.
It is the responsibility of the seller to provide you with this UVIP (a $20 cost). It gives a history of all the owners, vehicle brand, liens and a bill of sale.

http://www.gov.ns.ca/snsmr/consumer/tipscar.asp
http://www.mto.gov.on.ca/english/dandv/vehicle/used.htm

[number84]

At the dealer you pay both. In Ontario, you only pay the PST when you register the vehicle. It is based on the great of the wholesale price or the purchase price of the vehicle (find it on the Used Vehicle Information Package). For example, if the wholesale is $1800 you pay PST on this amount not the $1200 for which you bought it.
It is the responsibility of the seller to provide you with this UVIP (a $20 cost). It gives a history of all the owners, vehicle brand, liens and a bill of sale.

http://www.gov.ns.ca/snsmr/consumer/tipscar.asp
http://www.mto.gov.on.ca/english/dandv/vehicle/used.htm

this is the same for BC

[maxgohan]

if i were to purchase a car from manitoba and then register it in ontario, do i have to provide a sales receipt or do i just tell them what i payed for it?

the car is brought privately so do i just type up a piece of paper saying i payed so and so for it and have it signed from the seller?

[droogy]

what if the purchaser is taking over a lien on the vehicle(lease or finance)? when they transfer ownership do they pay any taxes since there is no money changing hands?

[BartBandy]

In Ontario, if you buy a car privately, you will pay PST when you register the car and get plates for it. You will pay 8% PST x the stated purchase price on the UVIP or the wholesale price (printed with the UVIP), whichever is higher.

Doesn't matter how much money changes hands.

The only exception is if a car is gifted between immediate family members.

[ShadowVlican]

RELATED QUESTION:

can i use my credit card to pay the tax at MTO?

[techwiz]

RELATED QUESTION:

can i use my credit card to pay the tax at MTO?

Yes.

[r2traps]

I'm buying a used 2003 Corolla from a private seller in Ontario. The seller got the UVIP from MTO and it lists the avg. wholesale price at $10,000 and avg. retail price at $11,700.

Regarding the wholesale value on the UVIP, the MTO web site states (http://www.mto.gov.on.ca/english/dandv/vehicle/used.htm):

Wholesale Value

The wholesale value is based on the Canadian Red Book, which lists the wholesale and retail values of used vehicles. These values will be printed on the UVIP. Values may change from the date the package is issued to the date of transfer. The wholesale and retail values are based on average amounts paid for vehicles of the same year, make and model. They do not take into account optional equipment, vehicle condition or the number of kilometres driven. The Canadian Red Book is an accepted industry standard used by car dealers, insurance companies and other provincial governments.

Red Book values may not apply to some vehicles. In these cases, retail sales tax will be based on the purchase price only.

A fellow RFDer, who has an April 2007 edition of the Canadian Red Book, told me that the red book lists the average retail price for the car I'm buying at $9150 and the average wholesale is approx $7450. Also, I used the Toyota.ca site to get the Black Book value and it says :

Depending on your vehicle's condition, the value may be appraised within the High and Low range. * less Reconditioning Costs Low: $6,450.00 High: $8,700.00

Why is the MTO's pricing so off from the Canadian Red and Black Book? I will be charged tax on the wholesale price on the UVIP, which is so much higher than quotes from the other sources. Perhaps it's a case of the 2003 Corolla not being applicable for the Red Book vlaue? Does anyone know what criteria MTO uses for this? Is there any way to get MTO to charge taxes on the most recent Red Book value?