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Originally Posted by DJ Milk

Actually Jmac is right. Used car from a dealership is charged 5% GST and 7% PST. Used cars on a private sale is charged 12% PST. Either way it's still 12% tax.


https://www.icbc.com/brochures/Pages...-vehicles.aspx
https://turbotax.intuit.ca/tips/tax-...bia-canada-156

Edit : Damn it, I didn't see 68style post above me

Here's an unsolicited tax tip for you business owners out there. If you are a GST registered business and you are buying a vehicle for business use, you will get the GST input tax credit (subject to limitations) on the vehicle's purchase price if buying the vehicle from a car dealership (because 5% GST). Whereas, if you buy the vehicle privately, you are paying 12% PST and therefore not entitled to a GST input tax credit because you did not pay GST. The PST then gets capitalized to the cost of the vehicle and amortized in accordance with the capital cost allowance rules.

It's something to consider when you have two similar and closely priced vehicles but one is from a dealership and the other a private sale.