I understand why people trade cars in...
03-30-2011, 04:47 PM
#31
Rennlist Member
Thread Starter
03-31-2011, 03:41 PM
#32
Rennlist Member
I've never had trouble selling. The cars were extra-clean and went for more than retail book value.
03-31-2011, 03:48 PM
#33
Rennlist Member
Private sales of used cars are now subject to 13% retail sales tax so there is no advantage flipping it through the dealer on a convenience deal.
03-31-2011, 04:54 PM
#34
Rennlist Member
it now creates a bigger incentive to arrange a sale and put it through a dealer for the trade in tax savings
think it through and you will see the point.
03-31-2011, 05:06 PM
#35
Rennlist Member
I think you are confused. if you trade your car and arrange for the buyer to get it from the dealer, you can save the 13% off the trade in value. in the past if you bought private you paid only pst now you pay hst whether private or from dealer.
it now creates a bigger incentive to arrange a sale and put it through a dealer for the trade in tax savings think it through and you will see the point.
it now creates a bigger incentive to arrange a sale and put it through a dealer for the trade in tax savings
think it through and you will see the point.I was thinking back to pre-July 2010 where you could save 8% and had to cut a cheque to the private buyer for the GST (which he got charged at the dealer).
04-01-2011, 02:04 AM
#36
Captain Obvious
Super User
Super User
Yes, but the dealer will add their cut to the trade in so, the buyer will have to fork out more than if they bought the car from you.
In any case, is this even legal? Gut feeling tells me that cutting out the gov. is rarerly legal.
In any case, is this even legal? Gut feeling tells me that cutting out the gov. is rarerly legal.
04-01-2011, 07:53 AM
#37
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I've done convenience deals several times over the last 20 years in three different provinces. I'm surprised that it's not common knowledge. There's no dealer markup ( on your trade)and you really get the best of both worlds...best price for your car and the new car, and the tax savings on the trade in amount. It's a win, win... but you still have to find a buyer for your car.
07-19-2011, 12:13 AM
#38
1st Gear
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Convenience sale
Our dealer was not giving us much on our trade, we listed and have a few people interested. Dealer is willing to do a convenience sale.
Question: does this make the dealer responsible for accepting payment from the buyer of my trade? I.e. I don't have to worry about cash or going to the bank with the buyer to ensure it's legit?
I trade the car to the dealer and they do the sale?
Thanks.
Question: does this make the dealer responsible for accepting payment from the buyer of my trade? I.e. I don't have to worry about cash or going to the bank with the buyer to ensure it's legit?
I trade the car to the dealer and they do the sale?
Thanks.
