Buying new car in AB, "selling it" to BC resident

[TYMSMNY]

Hi All, have a question in regards to buying a new car in AB and "selling it" privately to a family member in BC.

1. Does the person in BC have to pay taxes on it when I sell it to them (no because its private sale right? how would the government collect the PST?)

2. OOP. has to be done by the BC resident.

3. Is there anything else that I need to worry about or do?

Thanks.

[ramminghard]

Originally posted by TYMSMNY
Hi All, have a question in regards to buying a new car in AB and "selling it" privately to a family member in BC.

1. Does the person in BC have to pay taxes on it when I sell it to them (no because its private sale right? how would the government collect the PST?)

2. OOP. has to be done by the BC resident.

3. Is there anything else that I need to worry about or do?

Thanks.
Not sure on BC but if you buy a used car in Alberta and import it to Saskatchewan they will not let you register the vehicle until you pay PST.

[GTS4tw]

Originally posted by TYMSMNY
Hi All, have a question in regards to buying a new car in AB and "selling it" privately to a family member in BC.

1. Does the person in BC have to pay taxes on it when I sell it to them (no because its private sale right? how would the government collect the PST?)

2. OOP. has to be done by the BC resident.

3. Is there anything else that I need to worry about or do?

Thanks.

Full sales tax on anything in BC, private or dealership. You pay before you can register the car, which must be done within 30? days I think. They WILL look into the price you claim on the transfer form, so be honest.

Its 12% here.

[corsvette]

You must also provide a Alberta registration, they need a regi from you (MUST be in the sellers name) signed over to the buyer with a bill of sale.

In short, you'll need to insure/register the car here first.

[TYMSMNY]

Ah ok ok. So essentially what I'll save is....... the Luxury tax? and any dealership level incentives?

[TYMSMNY]

Originally posted by GTS4tw


Full sales tax on anything in BC, private or dealership. You pay before you can register the car, which must be done within 30? days I think. They WILL look into the price you claim on the transfer form, so be honest.

Its 12% here.

Yes. I was going to buy for lets say 100. I would sell back to them for 100. but it looks like there not much savings here anyways.

[GTS4tw]

Originally posted by TYMSMNY


Yes. I was going to buy for lets say 100. I would sell back to them for 100. but it looks like there not much savings here anyways.

Yeah if you did that then it would cost them 12 to register it. If it is a truck though then you might save enough by buying it in AB, we get bent over on new vehicles here.

[TYMSMNY]

Originally posted by GTS4tw


Yeah if you did that then it would cost them 12 to register it. If it is a truck though then you might save enough by buying it in AB, we get bent over on new vehicles here.

we pay GST here so it would be 107. ? PST at 7%.

all in all, not worth it at all to save $1000 or so. I'm looking at an invoice from BC vs AB. If PST isn't saved then it's the luxury tax only.

[GTS4tw]

Originally posted by TYMSMNY


we pay GST here so it would be 107. ? PST at 7%.

all in all, not worth it at all to save $1000 or so. I'm looking at an invoice from BC vs AB. If PST isn't saved then it's the luxury tax only.

Here ya go:

http://www.sbr.gov.bc.ca/documents_library/bulletins/pst_308.pdf

Edit: Page 8 might be what you're looking for...if you qualify as a "related individual"

[S4maniac]

Google " FIN 319". You can gift the vehicle to a family member which exempts them from PST.

They'll need an OOP, they cost about $125 in Victoria.

[Brent.ff]

So, if I moved to BC and brought a vehicle with me, I'd have to pay gst on the value - depreciation?

[Kloubek]

Nope. Im in the process of moving to BC, and will not be required to pay anything other than the OPP. I am purposely looking to purchase a vehicle just before my family moves and I officially transition to BC specifically to avoid the ridiculous tax.

For the record, this used car tax was not 12% until the HST was implemented. I must have made good money though, because when they abolished the HST, they conveniently maintained the 12% on vehicles... both new and used.

[TYMSMNY]

So even if I had said BC resident come and buy the vehicle here in AB and bring it back to BC, they will still need to pay PST and do an OOP..... it's no different then me buying it myself and selling it to them at what I purchased (unless family member as stated in the exemptions)

[S4maniac]

If its a brand new vehicle, I believe you may not need an OOP. When I moved to Victoria I was told one of my cars was just outside the date (I think it was one year). A quick call to ICBC would answer that.

[S4maniac]

Originally posted by Kloubek
Nope. Im in the process of moving to BC, and will not be required to pay anything other than the OPP. I am purposely looking to purchase a vehicle just before my family moves and I officially transition to BC specifically to avoid the ridiculous tax.

For the record, this used car tax was not 12% until the HST was implemented. I must have made good money though, because when they abolished the HST, they conveniently maintained the 12% on vehicles... both new and used.

In case you don't know, you are supposed to have owned a vehicle for more than one month before moving to BC to avoid paying the PST when you register here. I just lied and told them it was longer, they don't check. That may be tougher if its brand new.

[GTS4tw]

Originally posted by Kloubek
Nope. Im in the process of moving to BC, and will not be required to pay anything other than the OPP. I am purposely looking to purchase a vehicle just before my family moves and I officially transition to BC specifically to avoid the ridiculous tax.

For the record, this used car tax was not 12% until the HST was implemented. I must have made good money though, because when they abolished the HST, they conveniently maintained the 12% on vehicles... both new and used.


http://www.sbr.gov.bc.ca/documents_...ins/pst_308.pdf

It is all explained in detail here. There is a chart to show you the tax you pay on the depreciated value of the car.

[Kloubek]

Originally posted by GTS4tw



http://www.sbr.gov.bc.ca/documents_...ins/pst_308.pdf

It is all explained in detail here. There is a chart to show you the tax you pay on the depreciated value of the car.

For the OP, yes. For me, I'm exempt as long as I've used it for a month. (As per S4maniac's mention).

http://www.sbr.gov.bc.ca/documents_library/bulletins/ctr_001.pdf