Taxes due on a used boat

[big.griff]

So I have a bit of a predicament. Received letter today from the ministry of finance looking for taxes due on a used boat that I bought in 2012 and subsequently sold in 2013. They are requesting for a tax to be paid on an amount that is double what I paid for the boat. My problem is, I cannot find the receipt from the previous owner to show what I paid for the boat. I am sure I am not the only one that has been in this predicament, so I am hoping someone can help me out here.

 

[profisher]

If you paid by cheque your bank may have a copy of the cancelled cheque

 

[Battle Bay]

I was in the same boat, after I had some choice words for the lady after I sold the boat two years earlier. I had to go to the access centre and sign a form saying what I paid for it and that what I was saying was the truth.

 

[gulfislander]

Yup i just paid tax on a boat i had for two and a half years and just sold in the spring. I just filled out the form they sent me with how much i paid for it and wrote the cheque for that amount. No questions asked. Hope that helps! Cheers

 

[big.griff]

I paid with cash unfortunately.

If you paid by cheque your bank may have a copy of the cancelled cheque

 

[JAC]

Did you license the boat with transport Canada is that how they found out that you own the boat.

 

[big.griff]

I believe I sent a copy of the receipt to Transport Canada when I registered the boat. Wondering if they might still have it??? The other thing is I know we broke down the trailer, boat and extra equipment into 3 different prices but I don't remember what they were or even the total price I paid. I will pay the tax that I owe but I know I already paid tax on the trailer and don't want to get stiffed for more than I owe.

 

[JAC]

How did they come up with that amount??

 

[Fish Rider]

I was in the same situation last year. I bought the boat in 2011, registered with transport canada that year and just a bought house in the fall of 2013 boom letter in mail for boat tax. They quoted more for tax then what I paid for the boat. I didn't have my boat of sell papers to prove the price. All I had was my trailer papers and told them in writing what I paid for the boat minus the trailer and everything was good. I guess they were happy with the amount and no more letters.

 

[Hookin'up]

anyway to track down the prvious owner? make up a new receipt
Feds know already what you paid for tax on Trailer but wont volunteer it, it is reported by provincial, call icbc and ask what you paid on it, make sure it jives
they dont care if hull and motor is broken down you pay tax on both
fill out their form with what you paid and supply some sort of documentation to back it up
what they have assessed you at is not written in stone and they dont question if you provide supporting documents with the form you mail in

 

[big.griff]

It just says on the letter that the estimated amount of tax is $xxxx.xx

How did they come up with that amount??

 

[big.griff]

I am going to try to call the previous owner tomorrow to see if he still has the copy of the receipt. I found the papers from when I insured the trailer, so I know what that amount was. I still don't remember the total purchase price. Am I to pay taxes on extras that came with the boat that were placed into my pickup when I bought it(downriggers, electronics, fishing gear)? I don't want to make up a new receipt really. I don't want them to come back and say that they have the original receipt that I sent to Transport Canada and now I have submitted a second receipt that doesn't match.

anyway to track down the prvious owner? make up a new receipt
Feds know already what you paid for tax on Trailer but wont volunteer it, it is reported by provincial, call icbc and ask what you paid on it, make sure it jives
they dont care if hull and motor is broken down you pay tax on both
fill out their form with what you paid and supply some sort of documentation to back it up
what they have assessed you at is not written in stone and they dont question if you provide supporting documents with the form you mail in

 

[Fish Rider]

They value your boat make/model with the average market value of the same make/model as yours. Is just an estimate $$$ value not what you pay. I paid 10 times less then there quote!!!

 

[big.griff]

It seems to be a pretty backwards system. Why isn't the tax collected when the boat is registered in your name? Are they worried that no one will register boats and they wont get to collect tax again on the same boat.

 

[ziggy]

It seems to be a pretty backwards system. Why isn't the tax collected when the boat is registered in your name? Are they worried that no one will register boats and they wont get to collect tax again on the same boat.

Ones Federal the other Provincial. It's a crap shoot if the number you gave Transport Canada and the number you tell the Provincial gov't don't match. The way the Provincial gov't found out about the sale was through the Feds letting them know, so there is some form of communication, I'd want the numbers to match!

 

[Fish Assassin]

I think it's just so wrong that our government collects tax over and over again on used items that the tax had already been paid on.

 

[gulfislander]

It is a verry backwards system. You register your boat with te federal government and for some reason it takes them a couple of years to inform the provincial govnt that you registered a boat with them. At this point the provincial govnt comes to collect. Its a big **** off to have them come calling for it years after the purchase! But thats life i guess. I belive the satute of limitations is 5 years

 

[cannibal chris]

Someone has to pay for their highly overpaid salaries and gold plated pensions. And of course all the people that feel welfare is a way of life

 

[bigbruce]

Exactly. It is a really bad system and we need to adjust it (the voter's).

Good luck on that one!!! You really think and NDP Government would kill a tax on boats??

 

[Lipripper]