Sales Tax on Title Transfer for Private Sales in Canada?

Issues relating to the purchasing, importing, and inspection of JDM vehicles in Canada

Moderator: mark

Post Reply
craighondo
Posts: 7
Joined: Fri Jul 21, 2017 4:08 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: Don't have one yet
Location: Oregon

Sales Tax on Title Transfer for Private Sales in Canada?

Post by craighondo »

I was recently looking at a van and talking to the seller about having made trips up to BC looking for a Delica, noting that they were much cheaper than the vans available in the states.

He said that if I bought a van in Canada, I would also have to pay the 12% sales tax for the sale when I went to transfer the title and buy temporary insurance to drive it over the border.

I have never heard of this before or come across it in my research.
Does anyone know if that's true?

For what it's worth, my insurance policy on my other vehicle gives me 14 day coverage for a new vehicle. I don't know if that covers a vehicle purchased out of the country and not registered in the US, so I'll have to look into that.

Thanks
User avatar
MardyDelica
Posts: 2190
Joined: Sun Jan 14, 2007 3:32 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: DL#30843 /92 Delica Super Exceed
Location: Richmond B.C.
Contact:

Sales Tax on Title Transfer for Private Sales in Canada?

Post by MardyDelica »

hi, maybe I can help you pls call me 604-720-6144
mardy
ImageImageImage
Krazykraut
Posts: 26
Joined: Fri May 25, 2018 10:16 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: L300 P35W (Apr 1993)
Location: Portland, OR
Contact:

Sales Tax on Title Transfer for Private Sales in Canada?

Post by Krazykraut »

I know this thread is old but maybe it will still help someone.
Coming from the US, I bought an L300 in BC from a private party. Seller signed over the ICBC transfer form.
US customs at Peace Arch sent me back, citing there was no proof I was the owner now, and wanted me to transfer it in my name with ICBC. That would have cost me the 12% sales tax. Tried two more times at peace arch (including a 1 h wait each time). Would not let me import vehicle, even with a signed bill of sale. I was ready to give in.

Went over to the other crossing (forgot the name), 5 minutes away. Importing there took less than half hour - with the exact same paperwork.

This whole BS took most of my day, but at least I didn’t get gouged.

It may be easier if bought from a dealer in BC but it’s totally doable if you are persistent. Titled and insured in Oregon now.


Sent from my iPhone using Tapatalk
User avatar
MardyDelica
Posts: 2190
Joined: Sun Jan 14, 2007 3:32 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: DL#30843 /92 Delica Super Exceed
Location: Richmond B.C.
Contact:

Sales Tax on Title Transfer for Private Sales in Canada?

Post by MardyDelica »

yes,
if you buy from private they will charge you bc 12% tax
but from dealer like us no tax as its an export just the rules they do
glad you made it
thank you
ImageImageImage
Krazykraut
Posts: 26
Joined: Fri May 25, 2018 10:16 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: L300 P35W (Apr 1993)
Location: Portland, OR
Contact:

Sales Tax on Title Transfer for Private Sales in Canada?

Post by Krazykraut »

As I said, a signed bill of sale as well as the ICBC form are all that is needed for the US import. I spent a good deal of time talking with an ICBC broker and they confirmed. I suggest to call the border ahead of time - they were surprisingly helpful.
Of course dealers would love to discourage private sales, all I’m saying is that it is possible and perfectly legal to buy from a private party without paying the 12% sales tax when exporting the vehicle.


Sent from my iPhone using Tapatalk
User avatar
MardyDelica
Posts: 2190
Joined: Sun Jan 14, 2007 3:32 pm
Member's Photo Album: http://www.delica.ca/Photos/
Vehicle: DL#30843 /92 Delica Super Exceed
Location: Richmond B.C.
Contact:

Sales Tax on Title Transfer for Private Sales in Canada?

Post by MardyDelica »

hi, sorry were not discouraging the private sale dont make me wrong, its just there rules in icbc doing collecting tax
simple. you can probably get your tax back if you can call icbc how to do it.
will be long process i guess
i dont know how to do it.
cheers
ImageImageImage
Post Reply

Return to “Import, Inspection & Registration”