HST Question

[Clipper]

I'm in the process of looking for a new/used boat and was wondering how the upcoming HST will impact used vehicles. As of now, GST does NOT apply to used units - PST only.

The question is: will the HST be applied to these same used vehicles? If yes and I'm afraid that is the answer, then expect to pay an extra 5% on any used clunker you buy.

Thanks, Gordo!

 

[islanderguy]

According to KPMG, it should stay at 7% and not increse to 12%:


Tax on private sales of used vehicles
Private sales of used vehicles, aircraft and boats are currently subject to PST but not GST and so they will not be subject to HST. The province will retain a provincial sales tax that will reflect the current tax treatment of these items.

http://www.kpmg.ca/en/services/tax/tnf/tnfc0926.html

 

[TheBigGuy]

So, I take it what you are saying is:

Private sales 7%.

Through a broker or dealer you will pay the combined taxes.

Can anyone confirm if this is true.

 

[beemer]

Correct.