Tips on Buying Cars: Importing a car to Canada and tax implications, jim sears, purchasing a new car


Question
Hi,
I'm interested in purchasing a new car in the USA and am wondering if I'll be charged state tax from the dealership in the state that the car was purchased.  Are Canadians required to pay the tax on new vehicles, and if so would there be any problems going to a state that has lower taxes than another (California VS. Oregon)?  Also, although I believe I'd be required to pay the GST (Goods and Service Tax) upon my return to Canada, are there other taxes that are involved?

Thanks!

Answer
Hi Nick, When you purchase the vehicle in any state, you will not be charged that State's sales tax as you are a non-resident. I know you will, however be charged at the border to import to Canada. What that rate is based on, I am sorry to say, I do not know. Contact the Canadian Customs to get the rate before you buy. I wish I could be of more help. Best of Luck on your new purchase.---Jim Sears