used car transfer tax

[heatwavewo]

hi all, used car transfer tax in ontario is 5% (PST) right?
and when u transfer the ownership can you declare lower price then you bought just to save some tax conis

also can the plate be transfered too?

thx

[firechkn]

On a private deal, you have to pay PST on the car. If the book value is higher than what you paid the tax is calculated from that.

$10 to transfer plates I believe.

[TechFundi]

This used car transfer tax is a another govn't scam to get money out of us. Taxes should be only on new cars, not used. There should only be a fixed registration fee on buying used vehicles, not taxes. Its pathetic.

[Pete_Coach]

hi all, used car transfer tax in ontario is 5% (PST) right?
and when u transfer the ownership can you declare lower price then you bought just to save some tax conis

also can the plate be transfered too?

thx

This used car transfer tax is a another govn't scam to get money out of us. Taxes should be only on new cars, not used. There should only be a fixed registration fee on buying used vehicles, not taxes. Its pathetic.
OK, what are you talking about? I don't see any "used auto transfer tax" on the MTO website.
http://www.mto.gov.on.ca/english/dandv/vehicle/used.shtml#buying

[iam_immigrant]

They are talking about the taxes paid when purchasing a used car...which I agree with.

How can they tax something that's already been taxed, when purchased new? Why don't they make you charge tax when selling used electronics? Or clothing? Etc, etc, etc.

[Pete_Coach]

They are talking about the taxes paid when purchasing a used car...which I agree with.

How can they tax something that's already been taxed, when purchased new? Why don't they make you charge tax when selling used electronics? Or clothing? Etc, etc, etc.
Where do you shop? If you buy something, new or used, you are required to pay taxes and any store you buy things from will charge you the taxes. It's a goods and services tax, the article is taxed as well as the service to provide you the article. :confused:

[firechkn]

True, but I think he meant, since you are buying from a private party like myself why do we have to pay taxes again, since it was already paid from the Dealer (store) at one point, new or used.

When I sold my lawnmower for example the buyer did not have to pay taxes. Oh wait, the Government will soon catch on to this and will find a way to ding us :evil:

I know, there is some reasoning that kind of makes sense, but we don't have to like it...

Where do you shop? If you buy something, new or used, you are required to pay taxes and any store you buy things from will charge you the taxes. It's a goods and services tax, the article is taxed as well as the service to provide you the article. :confused:

[firechkn]

What's really sad for us and great for the government, any given car can exchange hands X number of times and the government keeps collecting taxes from it indefinitely. Image that, no wonder people get upset. So where does all this tax money go to? To our beat-up roads and under par transit system?

[Pete_Coach]

True, but I think he meant, since you are buying from a private party like myself why do we have to pay taxes again, since it was already paid from the Dealer (store) at one point, new or used.

When I sold my lawnmower for example the buyer did not have to pay taxes. Oh wait, the Government will soon catch on to this and will find a way to ding us :evil:

I know, there is some reasoning that kind of makes sense, but we don't have to like it...

Say what you will, as sarcastically as you wish (and I agree that we are being overtaxed) but, your lawnmower didn't need to be registered so you won't get caught not paying the taxes although you are supposed to.

"For Retail Sales Tax (RST) purposes, all goods are taxable unless the purchaser is entitled to an exemption, and all services are non-taxable unless specifically taxed under the Retail Sales Tax Act."
From http://www.rev.gov.on.ca/english/taxtips/rst/01.html

I think this is what gets everyone. Please don't shoot the messenger.

[Broli's Mom]

hi all, used car transfer tax in ontario is 5% (PST) right?
and when u transfer the ownership can you declare lower price then you bought just to save some tax conis

also can the plate be transfered too?

thx

The government will collect the PST, 8%, upon transfer of the vehicle. The 8% will be based on the wholesale Red Book value (found in the Used Vehicle Information Package) or the selling price declared on the Bill of Sale, which ever one is higher.

Plates can be transferred but only parent to child and vice versa, otherwise, the new owner will have to purchase a new plate and sticker.

[D-3vil]

hi all, used car transfer tax in ontario is 5% (PST) right?
and when u transfer the ownership can you declare lower price then you bought just to save some tax conis

also can the plate be transfered too?

thx

The PST in Ontario is 8%, not 5% as initially stated.
Also, some cars qualify for an RST rebate that range from $750 to $2000. Check out http://www.rev.gov.on.ca/english/guides/rst/702.html for more info.

[heatwavewo]

someone just told me now it's GST 5%...... so...........