Overdraft

Any theories on this tax going away under another government? I can’t believe this isn’t murdering the luxury car/ boat/ plane market. More importantly and frustrating, a harmless outlet/ reward of a nice car or boat for an entrepreneur or individual for hard work and risk is met with a solid scolding and kick in the *uts by a government pandering to…well…none of this would come out well so leaving it alone. Not to be patronized, folks buying Porsches or 100k+ cars don’t need the hat passed around for them sure, but I did not buy a particular car last Saturday because I simply wasn’t going to pay the “tax”..and then the HST on the “tax” again..can’t stomach it and I can’t be the only one. In what form of ( capitalist ) ideology would this make any sense?

.2PDK

The one you're living in...

reacp911

The greatest lament of rich people, especially billionaires, is their belief that the great unwashed don't appreciate them enough

Anyway, if any one of you thinks Polivivre, conspiracy theorist, is going to do a better job than trudeau, you are deluded. It's a fact that ALL republican regimes have recessions, whereas democrat do not. You can bank on it. It's similar in canada. The last two non COVID recessions belonged to that economic wonder stephen harper. I've known this for a long time. When cretien took over from that other economic wonder, brian baloney, I felt confident enough to buy a new house right away.

Yes I feel for those with marginal incomes who must have a GT3 RS, and who don't mind making the dealer rich but not giving back to their country.

When I go to cars and coffee events I'm amazed at the amount of money out there

Thicc911Turbo

As I suggested earlier, I don't expect the tax to go away any time soon and, in fact, I suspect things to get worse wrt punitive taxation (e.g. AMT.)

A culture of government dependency has been cultivated over the last few generations and the money to support them has to come from somewhere. As well, profligate government spending has ratcheted up debt levels to unsustainable levels. People who have made smart life choices, who have worked tirelessly, taken on heavy debt, responsibilities and taken risks for just reward are perceived by many as evil and thus as easy targets for milking by the government.

This culture is so engrained now I don't think any mainstream party will move away from this model.

rockrdude

it really depends on who is buying. It for sure killed the upper middle class buyer who saves and invests to buy his/her toys. But for the very rich it has very little impact. So we’d need to look at statistics to see who buys more of these cars. Maybe someone who works at a Porsche dealer could chime in. looking at AutoTrader could give us clues as there are a lot of recent 911’s now for sale that don’t seem to be selling and prices are being cut. I’m not sure if it’s still a 2 year wait to get a new 911, has it gone back to normal 3-6 month wait?

SToronto

No idea, I have submitted my requests in surveys to the political party of choice.

I hope it would go away, it won't in a splashy way of course, which is fine. Doesn't have to.

I would think a lot of people are impacted by this both in the their income wallet and dreams to own a car of choice. Forget about boats and planes, that's another league. US rennlist section, where they have 3RS, boats and planes.

Nobody is looking for a handout that is buying Porsches, but the tax is not logical, recall Freeland's speech about it in the House.

How much tax does one have to pay to make it fair, 53% off the top + all the other taxes. Is that fair enough? Some here would say no it's not.

I like you are on the fence about feeding the lux tax. I had to toss a little due to a new SUV. But anything that drives more than $3K in lux tax is debatable and giving me pause this year. Got a call for 4RS allocation, $30k in lux tax. No thanks.

I don't earn enough to where lux tax is a drop in bucket or doesn't matter. Even if I did, I think I'd still be bothered by the principle of it all.

looki

This has to be killing the dealers.
Out here in BC we have both a provincial lux tax and now a federal tax as well.
I was tempted to purchase a new 750s recently until I figured out that the tax would be a 100k on the purchase. I am fortunate that I can pay the tax if I wanted to, however after 30 years of being practical and thrifty building my business, I cant bring myself to waste 100K on a car. If this tax doesn't disappear I will likely just go south to purchase all future cars and register them outside of my local jurisdiction.
I suspect that I will not be alone in this decision.

Looki

SToronto

This is what people with real money do, as they have multiple residences and in the US.

What's the sentiment in BC? with both taxes, one would imagine people are outraged. Is that the case? Or is it quiet acceptance.

.2PDK

The price of being wealthy and living in Canada will continue to go up so one must simply adapt or leave.

moab

My view is similar to the above. Upper middle class (whatever that is these days), forget about it. Even if you are "rich" (is that a $1,000,000 income a year?), an extra $50K in tax means something. Very rich, i.e., mid to high seven figures, maybe you don't care. I know one uber rich that didn't even notice there was luxury tax on his 707 DBX lol.

SToronto

According to this study, Upper Middle is average $140k/year.

https://angusreid.org/great-canadian-class-study/

M718R

The biggest issue I see with over taxing of the rich and destroying the middle class is it will begin to breed corruption. I don't mean high level corruption, that's always been around, although well hidden. I think we will start to see low level corruption, cops being paid off, extortion and other tactics employed by organized crime will begin a resurgence. We are seeing this happen already with car theft rings, houses being burnt down / insurance claims etc. The government is making low level corruption profitable and will start decaying our society far quicker than any of us think.

bcrdukes

Was the response, "What's a luxury tax?"

Angryinch

This Country is already on a good downward spiral, look around guys.

You have a drama teacher running the ship and a pompous, arrogant witch of a finance minister. Why is constantly booming and busting? By the time you execute your business plan in a boom, its already busting, there is no stability.

I have never seen so many homeless, tent cities, beggars at every street corner and bums everywhere in the last 5 years. We literally have an intersection by my house with a beggar at every turn, 2-3 people per intersection. Yet no one can find any decent workers??

Look at the crime in the major cities - Immigrant gangs are burning down houses and extorting home builders, stealing cars at record pace, etc.

Now if you do for some lucky reason manage to work your bag off to get a head, the taxes are just insane. Its tax on top of tax everywhere you look.

DDzPorsche

Have no fear, the Federal Government is organizing an Auto Theft Summit
https://www.ctvnews.ca/politics/libe...road-1.6735996