gst on boat

[arkan]

Just received the letter from revenue Canada.They want me to pay GST(8%) of my boat I bought almost 3 years ago privetly.The problem is I can't find the bill of sale but they want the copy of one.What should I do?I am in Ontario.

 

[mr 88]

Re: gst on boat

Uhhh Make one up or get in touch with former owner.I do not think they will check signatures, all the government ever wants is money.

 

[250Gimp]

Re: gst on boat

Interesting.......

I just bought a used boat privately last year and they did not ask for any taxes on it, even though I registered it.

Hope they don't come after me!

 

[444]

Re: gst on boat

I'm in the same boat too, I've heard the same thing from others about letters comming in the mail asking for money years later.

 

[5150abf]

Re: gst on boat

Retro active taxing, that is really special, makes you wonder how far back they will go and what they will get us for next.

 

[Alumarine]

Re: gst on boat

Funny, GST was never 8%.

 

[metriccrescentwrench]

Re: gst on boat

Retro active taxing, that is really special, makes you wonder how far back they will go and what they will get us for next.

He's in Canada, you're in Indiana - I wouldn't loose sleep over it.


Just out of curiosity for us non-Canadians - what is GST?

 

[444]

Re: gst on boat

Just out of curiosity for us non-Canadians - what is GST?

Goods and Services Tax. But most of us think of it as the government sales tax. It's a 5% tax that goes to the federal government, the gst applies to most new retail purchases and any time you buy a vehicle and go to register it. Since our boats are licenced through a totally different system than cars, for some reason it seems to take years for them to figure out you bought a boat, then they want money where the gst for other vehicles is due at registration time.

 

[JoLin]

Re: gst on boat

If it literally takes several years for them to catch up to the fact that someone bought a boat, your situation must be fairly common.

I'd think they'd have a way of computing fair market value if you can't produce a sales receipt?

 

[arkan]

Re: gst on boat

Uhhh Make one up or get in touch with former owner.I do not think they will check signatures, all the government ever wants is money.

I have no idea where to find him.Dont remember even his name.I bought the boat really cheap.Bill of sales said $2000 for '89 Bayliner 2155.Does Revenue Canada keep the record of previous owners? I could really make up this "document".

 

[pootnic]

Re: gst on boat

They came a calling for me 2 years after my purchase as well.
I reluctantly paid it,I know some people that havn't but didn't want to take the chance.In N.S. the year I bought mine the GST was 6%,it may vary on the year you bought your boat.All I had was a piece of paper with a with his name on it with a price,not even a receipt.
I actually called the place to find out what I needed....the person on the end of the line was actually okay,like mentioned earlier,they only want some money.

 

[mr 88]

Re: gst on boat

I have no idea where to find him.Dont remember even his name.I bought the boat really cheap.Bill of sales said $2000 for '89 Bayliner 2155.Does Revenue Canada keep the record of previous owners? I could really make up this "document".

Just scribble some sort of signature, obviously make it unreadable. The boat is 22 years old, the receipt should say as IS,then put in your amount. You have the original bill of sale with no signature, hold on to that and send in the one you made with the correct hull numbers..Revenue Canada says it all,they may have record of previous owner but I bet all they want is "revenue " from any Canadian.I doubt they are going to track someone down after you send in some money. It would be cost ineffective.

 

[pootnic]

Re: gst on boat

Ya and we all know the goverment only spends our money "effectively"

 

[mr 88]

Re: gst on boat

Ya and we all know the goverment only spends our money "effectively"

Yes they do spend it "effectively", there so good at it that they keep coming back for more!
My point being they historicaly go after the big fish and trying to run someone down for 100 or so bucks is rare,unless computer generated.I love the way they charge tax on vehicles each time they are sold.They make more on car sales than the dealers do as most are taxed multiple times.I would put in 450 $ for a purchase price and leave it at that.Damn the torpedos full speed ahead.

 

[NYBo]

Re: gst on boat

Great system you've got up there in the Great White North. Definitely not a beauty way to go.

Here in my state (NY), boats and trailers are registered through the same Department of Motor Vehicles that handles cars and trucks. Unless you've already paid sales tax to a dealer, you pay it when you register for the first time. Without proper documentation of the selling price, you can't get a registration.

 

[444]

Re: gst on boat

Great system you've got up there in the Great White North. Definitely not a beauty way to go.

Here in my state (NY), boats and trailers are registered through the same Department of Motor Vehicles that handles cars and trucks. Unless you've already paid sales tax to a dealer, you pay it when you register for the first time. Without proper documentation of the selling price, you can't get a registration.

That's the way basically everything else here is. Cars, trucks, quads, motorcycle, snowmobile, etc you pay when you go to register it. But for whatever reason boats here aren't registered, they're licensed through Transport Canada instead of provincially like everything else. And for whatever reason they don't collect the tax when you go to license the boat. I don't remember if they record the value written on your bill of sale when you initially go to license the boat though.

 

[jeeperman]

Re: gst on boat

Isn't boat and trailer registration a one time deal in Canada?
When you registered the trailer, did you declare the purchace price?
Ontario might be sharing that info with Revenue Canada.

 

[pootnic]

Re: gst on boat

No.
Trailers are registered(taxed), plus inspected each year.
Boats(10hp and above) only need a pleasure craft licence and thats free...hard to beleive.(numbers on the side)
Taxes get paid if bought new but second hand the goverment only finds out when you go to get the new licence.(they tax you again,like cars up here)
Some people(alot)never licence their boat,I bet over 90% here don't.
The last year or so theres been alot of advertizing on what should be done with your boat(licencing).
As of Nov.10 2010 you need proof of vessel ownership and signed ID to get your free licence.
Commercial boats are a different story though.

 

[444]

Re: gst on boat

No.
Trailers are registered(taxed), plus inspected each year.
Boats(10hp and above) only need a pleasure craft licence and thats free...hard to beleive.(numbers on the side)
Taxes get paid if bought new but second hand the goverment only finds out when you go to get the new licence.(they tax you again,like cars up here)
Some people(alot)never licence their boat,I bet over 90% here don't.
The last year or so theres been alot of advertizing on what should be done with your boat(licencing).
As of Nov.10 2010 you need proof of vessel ownership and signed ID to get your free licence.
Commercial boats are a different story though.

Here in MB trailers are never inspected. I built a home made utility trailer and it was never inspected. The trailer gets taxed when you go to register it but the boat doesn't get taxed when you license it. For some reason it takes the tax man year(s) to figure out you've licensed a boat and owe tax money on it.

 

[arkan]

Re: gst on boat

Yesterday called revenue canada and explained my situation.They asked me to just send the cheque along with short letter about lost bill of sale.Thanks everybody.