If I buy a used bike at a dealer... what taxes do I have to pay? I
If I buy a used bike private,, what taxes do I pay?
Thanks!
If I buy a used bike private,, what taxes do I pay?
Thanks!
taxes due on used bike
- Thread starter meester_jamie
- Start date
If the MTO teller thinks the price is fishy, they can assign a book value. Also, that amount is the baseline for devaluation in case of insurance claim. You can get away with a little fibbing, but signing a fake receipt is fraud for the seller. Pay most of it by bank draft, the rest in cash.
Exception: a relative can sell to you for $1, so you owe 13 cents.
Not true for motorcycles.
There is no book value, if you say $1 you pay 13 cents. (Not promoting fraud, just stating facts)
They can try to investigate it by sending letters to the seller asking how much it was sold for but they won't assign a different value at the desk.
Also the purchase price has nothing to do with the insurance claim (unless it was appraised at a higher value but that is a whole other question)
Sent from my HTC One S using Tapatalk
Wow, wrong as hell as always, how do you do this? its amazing your ability to be wrong so many times
Motorcycles have no book value because there isn't a freaking book for motorcycles.... I am sure someone else must have already said it!
Edit: JeffJones is right
sorry, I should have explained more, I was in a hurry to type that message....
I am interested in first time buying from a dealer... so I was uncertain when and who I pay the tax ... and what tax...
the ontario website calls it RST .. 13% http://www.ontario.ca/driving-and-roads/buy-or-sell-used-vehicle-ontario
but that site doesn't refer to motorcycles,, only vehicles...
the service ontario site talks alot but doesn't say the percentage.. the banner and url says PST, the body says RST...
http://www.ontariolicences.com/inde...ontario-sales-tax-pst-on-transfer-of-vehicles
So,,,, I should expect to pay 13% HST on the agreed purchase price from a dealer... and then it will be transfered into my name, and I don't have to pay tax to the MTO...
I am interested in first time buying from a dealer... so I was uncertain when and who I pay the tax ... and what tax...
the ontario website calls it RST .. 13% http://www.ontario.ca/driving-and-roads/buy-or-sell-used-vehicle-ontario
but that site doesn't refer to motorcycles,, only vehicles...
the service ontario site talks alot but doesn't say the percentage.. the banner and url says PST, the body says RST...
http://www.ontariolicences.com/inde...ontario-sales-tax-pst-on-transfer-of-vehicles
So,,,, I should expect to pay 13% HST on the agreed purchase price from a dealer... and then it will be transfered into my name, and I don't have to pay tax to the MTO...
-Maverick-
Well-known member
Correct.
daught
Well-known member
^ I can't beat that. Good job CafeRay.
Sent from the future using my GOLDEN iPhone 30 SS
Fransky
Well-known member
So much fail in one post it makes my head spin...
QFT (and I love that gif)
Also CafeRay, do you REALLY believe that the MTO office drones give a $h!t?
SlowMo
Well-known member
Yes, they insisted I gave an appraisal for the bike to pay the proper amount of tax. I said no and stuck with my declared value.
I was referring to ownership transfer of vehicles in general.
If you transfer a bike for 10% of its value, you are just asking for trouble.
"its amazing your ability to be wrong so many times"..except when you accuse me of this and I respond with links and facts, you never respond but just take your ball and go home.
Are you trying to get my attention? PM me for a date. Wear something tight.
Asking for trouble? If you say you bought the bike for $500 and IF they contact the seller and she says $500 tell us what trouble we will be in?
What personal experience do you have that the rest of us haven't? Every time I sell a vehicle I leave the amount blank for the buyer to fill in. Name the "price" and I will back you up. Taxes were already paid when I bought new in my mind.
What personal experience do you have that the rest of us haven't? Every time I sell a vehicle I leave the amount blank for the buyer to fill in. Name the "price" and I will back you up. Taxes were already paid when I bought new in my mind.
I believe that the Ontario government cares about tax revenue, and there are these new things called computers, and suspicious transactions are flagged.
I have had the OPP check on the price of a bike I sold once, which had a "big discrepancy" from the buyers declared value.
I have also been called by a seller telling me he got a call from the Ministry to verify the selling price.
Ignorable advice: you can get away with some tax savings, but if you are stupid about it, you only have yourself to blame.
Sellers, don't sign a fake receipt, because that is fraud.
Any insurance investigation will uncover fraud as well.
You geniuses may want to check the penalties for tax and insurance fraud when you get together at your next Mensa meeting.
What is he/she says $5000 and decides not to risk it.
I presented a fact, you said "If the MTO teller thinks the price is fishy, they can assign a book value" and I said "there isn't a book for Motorcycles" You have to realize it isn't worth answering you most of the times.
I think you are a good guy and I am sorry if i keep calling you out, but jokes aside, stop offering advice and talking **** you don't know anything about... think of the children
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Risk what? The price written on the back of the ownership is the price you paid. If that person was going to be such a prig and write that price in then you gotta claim that.
What part don't you understand? There is no value book for mc in Canada.
Even if you claim you paid $1 on the bike, what does tax fraud have to do with an insurance claim? You own a vehicle that was legally sold and transferred. If the government didn't get to double tax a single purchase that is the governments problem. Unless of course you are saying that the insurance company will disallow your ownership of the bike?
Also, look at what someone at the MTO prices:
"This package, which the seller must show to potential buyers, has a description of the motorcycle, its registration and lien history in Ontario, and the average wholesale and retail values for its model and year. It also includes information about retail sales tax. The seller gives the UVIP to the buyer."
"This package, which the seller must show to potential buyers, has a description of the motorcycle, its registration and lien history in Ontario, and the average wholesale and retail values for its model and year. It also includes information about retail sales tax. The seller gives the UVIP to the buyer."
