Glen said:
We are planning a trip trans Canada and US starting July '06 and were hoping for some local advice. Is anyone aware if we purchase new bikes in Vancouver, whether the taxes we pay can be redeemed on departure? I have started a thread at (here, this thread). Any suggestions on the planned route contained in the thread would be appreciated. Please post all replies to the thread link above, this will keep it active. Thank you for taking the time to read this and all suggestions good or bad will be taken on board.
Hello Glen:
I live in Toronto, however, I work in Europe and will be here in Europe all summer.
I don't think there is any way you will be able to escape paying the two VAT taxes (the federal GST, or Goods and Services Tax, and the provincial PST, or Provincial Sales Tax) on the purchase of a motorcycle in Canada. There are provisions to apply for a refund of these taxes if you export an article that you have purchased in Canada, however, it does not appear that you intend to export the motorcycle from Canada. This kind of means you are screwed, you will have to pay the two taxes. Whoever buys the motorcycle from you will also have to pay GST and PST, based on whatever price you charge them for the used motorcycle.
Be aware that the motorcycle may also have to pass a used vehicle safety check when you sell it. The exact requirements for this safety check vary from province to province. If the moto is less than a year old, the safety check will be more or less a formality, provided the tires and brakes are in good condition (not worn out), however, it will cost you a few bucks - probably an hour's worth of labour at a moto dealership - to get the check done, and it is yet another PITA in the process of selling the bike.
Lastly - be aware that in almost all parts of Canada, riding a motorcycle is very much a seasonal (summer) activity - if you try to sell one in the Northern Hemisphere fall, or at the end of the summer, you might have to take a bit of a knockdown price to get rid of it, because whoever buys it will likely wind up putting it into storage until the spring.
Michael
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