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Vancouver Auto Chat 2016 VAC Community Head Moderator: Raid3n

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Old 03-08-2016, 07:46 PM   #1
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Why is their sales tax on used cars?

Like the title says, I'm guessing there's supposed to be some legitimate reason for this but I can't think of what it is. To me the taxes were paid when the vehicle was purchased brand new, so it seems odd to pay more taxes when reselling.
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Old 03-08-2016, 07:49 PM   #2
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easy tax grab for the province..never going to change
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Old 03-08-2016, 07:53 PM   #3
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Because ICBC.....its bullshit IMO. Like you said, the tax was paid on the car when new so no reason why it should be paid again.
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Old 03-08-2016, 07:54 PM   #4
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Leveling the playing field

B.C.'s Finance Minister Mike de Jong says the reason the government is not rolling the tax on used vehicles sold privately back to pre-HST levels is to keep the tax in line with the 12 per cent tax on all new and used vehicles sold by dealers.

Before the HST was brought in July 2010, there was only a seven per cent PST on the sale of used vehicles by private sellers when the price of the vehicle was less than $55,000. All cars sold by dealers were taxed with an additional five per cent GST, for a total of 12 per cent sales tax.

"We made the decision to eliminate that differential and it really wasn't tied to whether we were in a HST or PST regime," said de Jong.
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Old 03-08-2016, 08:18 PM   #5
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Because ICBC.....its bullshit IMO. Like you said, the tax was paid on the car when new so no reason why it should be paid again.
Does ICBC have control over it, or the provincial/federal gov't?
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Old 03-08-2016, 08:23 PM   #6
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tax grab
supported by the bc dealer association
Also luxury tax on any car new or used if it's over 55K

HST was good for BC
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Old 03-08-2016, 08:26 PM   #7
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Old 03-08-2016, 10:55 PM   #8
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I'm honestly surprised nobody with a lot of money and time on their hands hasn't fought this very topic. It's totally ridiculous that tax can be collected on a product an unlimited number of times during its life cycle.

Nevermind keeping it at 12% post-HST, they also essentially eliminated gifting except between direct family.
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Old 03-09-2016, 04:49 AM   #9
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when you have lived in Asian (except Japan), you will ask yourself more, WHY THE HELL we have sales tax for every dollar spent.
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Old 03-09-2016, 08:31 AM   #10
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same reason why ICBC charges full choke on someone insuring more than 1 car...
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Old 03-09-2016, 09:09 AM   #11
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I'm honestly surprised nobody with a lot of money and time on their hands hasn't fought this very topic. It's totally ridiculous that tax can be collected on a product an unlimited number of times during its life cycle.

Nevermind keeping it at 12% post-HST, they also essentially eliminated gifting except between direct family.
So am I, considering the amount of time people spend fighting useless crap it seems odd that nobody seems to care about paying 12% on a used product. I could maybe understand at a dealership, but for private sales? Hell no.
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Old 03-09-2016, 10:57 AM   #12
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Because ICBC.....its bullshit IMO. Like you said, the tax was paid on the car when new so no reason why it should be paid again.
Charge tax multiple times on same product.

Happens in real estate too.
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Old 03-09-2016, 11:07 AM   #13
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