Canada - used tractor sales - sales taxes?

[canoetrpr]

This maybe a silly question for those of you in the know.

If I purchase a used tractor from a dealer, I have to pay sales taxes - both GST and PST. Thats 15%.

Are any sales taxes payable if I puchase a used tractor in a private sale from another individual?

Reasonbly sure that if I import a used tractor from the U.S., I will have to pay GST and PST at the border. Is this also correct?

-Aamer

 

[777777]

Hey Canoetrpr,

Canada also.

Unless you have a PST exempt #...........

Yup, buy from a dealer you pay both.

Buy privately, you pay neither.

Cross border, just done that and yup, you pay both up front at the border, based on the American price converted ( by Canda Customs tables which may or not be up to date ) to Canadian funds.
In other words, tractor that costs $6k ( USD ) equates to
around $7025 ( CDN ) and you pay 15% on that amount which is around $1054 tax.
So a $6k ( USD ) tractor ends up costing you ball park of $8100 Canadian ( just rounding off money )

Wow fun eh ?

Later
Tom

 

[canoetrpr]

Sounds like my best used deal is to wait around for the right private deal that is local. No taxes is one big reason. 15% REALLY adds up and I'd rather not give the govenment any more money that I already am giving them.

Further on a private deal I get to talk to the guy that actually used the tractor and get to ask him why he is selling and how well he has maintained it.

 

[777777]

It is tough to find a good used tractor at a reasonable price.
That is privately or thru a dealer. Lets face it, nobody really wants to part with a whack of cash and buy a tractor that seems to run ok and passes the walk around but looks like
h_ll. Makes you wonder if it was really taken care of. After all, would you buy a complete rust bucket of a car just because it seemed to run ok ? Not many people would.

You can check the autotrader on line and look under the heavy equipment. You'll see a few. Also check machine finder, iron search and even the Ag Dealer on line which will give you a good overview of some of the dealer's inventories.

Don't know where in Ontario you are but lots of tractors out there but just hard to find a good one at a good price. Sometimes you almost feel like buying new because it can be very discouraging.

Later
Tom

 

[Soundguy]

Gee.. too bad you just can't 'borrow' a US friends tractor and take it back to canida to do some work with it.. wink wink..

Soundguy

 

[HEC]

Now Chris that is good thinking if you can get away with it.

 

[777777]

Unfortunately, borrowing and forgetting to return have been covered as well by these guys at the Border. No sense of humor at all. Just want their money and even willing to take plastic to get it. They believe in the old saying of pay anyway you want but you ARE going to pay anyways. /forums/images/graemlins/smile.gif /forums/images/graemlins/smile.gif

Have a good one guys.

Tom

 

[tractorlogger]

If you are purchasing a tractor over 62 PTO HP it is zero rated.
You pay no GST or HST which ever system your province uses.