REVscene - Vancouver Automotive Forum

trollface · 10-01-2020, 09:05 AM

Quote:

Originally Posted by Hehe

Haha... you might not be at that age group. But my friend is well into his 40s, and with kids college tuition on track, retirement saving plan on track...

I'm pretty sure a reg guy in Van is up to his eyes in debt from a 800k Townhouse. The median income for a family in BC is like 80k. Your buddy is far from regular.

Hehe · 10-01-2020, 10:31 AM

Quote:

Originally Posted by trollface

I'm pretty sure a reg guy in Van is up to his eyes in debt from a 800k Townhouse. The median income for a family in BC is like 80k. Your buddy is far from regular.

True and true. But that's not stopping many in the lower mainland to buy six figure toys.

It's all about priority and income level. How many 14dolla ballar are driving a bimmer?

They are a typical 2-income family with both of them working. They are certainly above the median income, but nothing over the top either. I estimate my friend to be a tad over 100k given his position while his wife gets another 6xk-7xk or so.

He's just putting the money saved for something like an investment property to fulfill a lifetime dream instead. As long as he can justify it, I don't see why not.

Harvey Specter · 10-01-2020, 10:46 AM

BC gov't is clamping down hard on exotic cars been registered in Alberta and been brought back to BC which is why I would just keep the car on Alberta plates and get insurance in Alberta and not deal with the headaches.

All the loopholes and grey areas have been exploited so I would tread carefully and wisely. I wish I could have bought my Performante via Lamborghini Calgary and saved the 26% but it's too risky.

underscore · 10-01-2020, 11:35 AM

Technically it's illegal to have a vehicle moved back here for more than 30 days and not swap it over. I've never heard the outcome of someone who has gotten caught or had an accident here though, so risking a small fine might be worth it.

nismodrifter · 10-01-2020, 12:04 PM

Quote:

Originally Posted by Harvey Specter

BC gov't is clamping down hard on exotic cars been registered in Alberta and been brought back to BC which is why I would just keep the car on Alberta plates and get insurance in Alberta and not deal with the headaches.

All the loopholes and grey areas have been exploited so I would tread carefully and wisely. I wish I could have bought my Performante via Lamborghini Calgary and saved the 26% but it's too risky.

Once he moves back to BC, and changes his DL + Healthcare card + Taxes over to BC, how do you propose he maintain the AB plate + insurance? Plate + Insurance must be switched over within 90 days of officially moving back.

From the sounds of it, OP's friends scenario is very black/white, nothing even remotely wrong happening if he is legitimately living and working in AB. I would keep as much documentation as possible (CC bills with AB address, utility records in his name, letters from employer, etc) as those may be required later if govt of bc looks into it. Again, I went through a similar situation recently, it's pretty straight forward when you provide them a shit load of documentation right off the bat to verify everything.

Scotsman · 10-01-2020, 12:14 PM

Quote:

Originally Posted by Hehe

The idea is to buy something exotic in the 250k-300k range. And let's say it's 2yr sharp with 300k car... so the valuation for PST consideration is 300k*0.4=120k.

FYI if it is reduced 30% per year then you have to calc it like this:

300k*0.7=210k 1st year

210k*0.7=147k 2nd year

It's 30% of the new lesser amount not the original amount

Hehe · 10-01-2020, 12:35 PM

Quote:

Originally Posted by Scotsman

FYI if it is reduced 30% per year then you have to calc it like this:

300k*0.7=210k 1st year

210k*0.7=147k 2nd year

It's 30% of the new lesser amount not the original amount

This is in case that he keeps his BC resident status.

I am curious though... on the bulletin it says 30% reduction for every year and then 2.5% for every month.

So it's actually sales price*(0.7^x) where x is in years?

dark0821 · 10-04-2020, 09:14 AM

^

I agree 100%, your friend is 100% legit, It is not even close to tax evasion... he is living there for 2 years (24Xs longer than the 30 day law/rule).

I think if you are doing what I described in my 1st post - "moving" there for only 60 to 90 days... You can always say you wanted to try a new career path, but didnt pan out.. moving back to Vancouver after?

that is where it gets sketchy af... but even then... it is still very legit since you did satisfy the rules of owning the car for more than 30 days while being a resident of the other said province.

As for "reg" people owning exotics...If you have the equity, which I think most people do when they are mid 30/40s.... you have to think the cost of owning a lightly used V8 Ferrari for a year or two might be just about 100k? (thats depreciation, insurance and gas ).. not saying throwing 100k into the dumpster is a sound financial move, but to have the experience of having something like that for 1 year or 2.... that is something you get to cherish for a lifetime....

PS. not asking you to add another 100K more to your mortgage, the equity is only there so you will get approved for the loan to buy a car like that.....