| 83b18b1slow |
Hey everybody,...
I just have a question about importing vehicles into Canada. Not from way overseas, just across the border...
Anyone?
from what i have read on some sites is that when you bring it over you get charged tax on how much the car would sell in your market.
To my understanding this would mean...
if I bought an Eagle Talon TSI AWD, when i got to the border, regardless how much i paid for it, I would be charged GST on the cars worth in the Alberta market.
So the black book value on one of these is $13,500.
even if I bought it for $10,000(CDN) in the US, they would charge me $945 tax (the amount GST would be on $13,500).
And if it has A/C another $100 charge...
so my total duties would be...
$1045??
on top of this i would have to worry about shipping...
does this sound right to everyone?
or am i way off on this one? <!--emo&???--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/confused.gif" border="0" valign="absmiddle" alt='???'><!--endemo-->
<a href="http://www.ccra-adrc.gc.ca/E/pub/cp/rc4140eq/rc4140-e.html" target="_blank">http://www.ccra-adrc.gc.ca/E/pub/cp/rc4140eq/rc4140-e.html</a> <!--emo&???--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/confused.gif" border="0" valign="absmiddle" alt='???'><!--endemo--> |
|
|
| test |
Hey Dude, check this out...
Importing a vehicle into Canada
--------------------------------------------------------------------------------
v1.0 Written by Dirk Sieber, Mar 13/96
<a href="mailto:dsieber@express.ca">dsieber@express.ca</a>
© Dirk Sieber, 1996. Feel free to redistribute this document, as long as I am credited as the author, and the document remains intact.
**************************************************
*************************** ***
NOTE: This document is based on my experiences in importing a 1993 Toyota MR2 Turbo into the province of BC in Feb/Mar of 1996. I make no guarantees that any or all of these provisions will apply to you, or that the process will work for you in the same way it did for me. CHECK WITH CANADA CUSTOMS BEFORE DOING ANYTHING!
**************************************************
******************************
--------------------------------------------------------------------------------
The next few sections explain the process, as explained to me by Canada Customs and Transport Canada. There's also a section at the end, detailing my own experiences, and how they differed from what I was told would happen. <!--emo&:)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/smile.gif" border="0" valign="absmiddle" alt=':)'><!--endemo-->
Preparation
Insurance
At the border
Fees
Registering your new vehicle
Federal Inspection
My experience
Summary
Preparation (What you'll need/who to call)
The first thing you need to do is find out whether the car you're considering is even importable into Canada. Many cars destined for the US market do not meet Canadian safety standards (especially newer ones), and are therefore not importable at all. Note specifically that the person at the border was quite surprised that my MR2 was acceptable... it seems that many late model Toyotas do not qualify.
Transport Canada has a department named the Registrar of Imported Vehicles, reachable at 1-800-333-0558. If you call them, and give them the year, make, and model of vehicle, they will tell you whether the car is legally allowed to be imported into Canada.
If the car is acceptable, you will also need the following paperwork:
-US Title to the vehicle
-Bill of sale/transfer of ownership
In addition, you will need a written notice from the manufacturer of the vehicle (NOT just a dealership) stating that any recalls that may be in effect have been performed on the car you're planning on importing.
And, last but not least, the vehicle must still have the original stickers stating that it meets the Federal safety standards in effect on the date of manufacture.
Also note that if the car is newer than the 1990 model year, you will be expected to have the car retrofitted with the equivalent of the Canadian Daytime Running Light system. This procedure can be done after the car is in Canada, but you must have it completed and inspected within 45 days of importation.
Upon making my appointment for the Federal Inspection (see below), I was also told that you would have to have approved mounting points for a tether strap for a child car seat. This isn't mentioned anywhere in the documentation I received from Transport Canada, and luckily the inspection station decided to waive the requirement due to my MR2 being a 2-seater. Note that this quite possibly won't happen for you!
You will also need lots of money. :-) See the section below titled "Fees"
Insurance
To be able to pick up the vehicle and move it to the border, you will require some kind of insurance coverage. BC details follow... check with your local insurance company for details in your province.
In BC, ICBC will provide you with what is called a "Binder of insurance" (~$35/10 days for my car), which is strictly insurance coverage.. it is not a license to drive the vehicle on the road. You will also have to obtain a temporary permit from each state that you will be moving the car through. (In Washington, this is available from any Motor Vehicle licensing office. From my experience, $10US + local service fee (~$2.50) for a 3 day permit).
ICBC will not issue you a standard temporary BC permit until the car is physically present in BC, and you have the paperwork from the border stating that the car has been imported.
However, once you have crossed the border, you now need a temporary BC permit, and you are supposed to stop at the first ICBC agency you can find, and purchase one. <!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo-->
At the border
The first thing you will want to do is make sure you are at the correct border crossing... certain ports of entry are designated for the process of importing vehicles. The process can be completed at any port, but the paperwork fee assessed will be approximately $50 higher if you go through a "non-approved" port. Check with Customs before you arrive.
(In BC, the truck crossing at the Douglas border crossing (Peace Arch) is the approved crossing... the main Peace Arch crossing is not. Note that is the exact reverse of what I was told by Transport Canada.)
Upon arriving at the booth, explain to the Customs officer that you are planning on importing the vehicle. You'll be directed to park your car, and go inside to Customs.
The actual paperwork process has been privatized, and will be handled by a private brokerage company. (Incidentally, this also caused the fee to double.. hmmm). After the Customs agent has spoken to you initially, they will direct you there to have the paperwork completed. You will need the title, bill of sale, mileage, and the month and year of vehicle manufacture (NOT just the model year.. the actual date of manufacture. This should be found on a sticker on the driver's door jamb).
The brokerage company will check the paperwork, look up your vehicle to make sure it's on the approved list, and then give you a document to go back to Customs with.
Upon returning to Customs, they will also check the title and bill of sale, and take copies. You will then have to pay a variety of fees (detailed in "Fees", below), including Duty, GST, and possibly excise tax.
After this, your car is now legal to enter Canada! The process from this point depends on the province of entry, it's regulations, and your local insurance company. The process for BC is detailed below.
Fees
The following fees will be assessed at the border:
Note that all calculations are based on the Canadian value of the car. The Customs brochure states that the Canadian value will be based on a commonly approved value, such as the Kelly Blue Book. This means that even if you got an amazing deal on the price, you may still be paying tax based on the average Canadian value of the car. (This isn't what happened to me, see "My experience", below)
Paperwork at brokerage: $210.00
(Approximately $50 more if not at an approved port)
Duty 8.0%
At this point in time, import vehicles are assessed duty at the rate of 8.0% (down 0.6% from last year! <!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo-->. Last year's flyer states that the rate of duty on domestic vehicles is 2.6%, this may have also dropped. Check with Customs for the current rates)
Excise Tax $100.00
(Only for vehicles equipped with air conditioning)
GST 7.0%
This is calculated on the Canadian value plus the excise fee, if applicable
After you've paid all of this, you've now got a Canadian car! (Subject to inspection).
Note: You may still have to pay PST or other fees to your provincial government. If you are in BC, you will have to pay PST when you register/insure the vehicle.
Registering your new vehicle
The process described here is only for BC residents... you will have to contact your local insurance agent/tax office if you're not a BC resident.
In BC, after you have the paperwork from the border stating that you have paid the fees and that the car has been admitted, you must have the vehicle inspected before you are able to insure it. This inspection is called a PVIP, and must be done at an ICBC approved inspection facility. The list of approved shops/dealers/inspection centers in your area is available from your local ICBC agent.
NOTE: The fee charged for this inspection is not fixed... I was informed by my ICBC agent that it can vary from ~$50-$250, depending on where you go. CALL AROUND for rates!
(In particular, if you're in the lower mainland, note that BCAA will do these inspections at their inspection center (located at xxxx Goring St, near Brentwood mall on Lougheed Hwy in Burnaby) with a booking two days in advance (Ph: xxx-xxxx). Currently the fee at BCAA is $69+GST for members, slightly higher for non-members).
The inspection is fairly thorough, although mostly visual. They will road test your car, as well as inspect all safety and emissions equipment (note that this test does not count as a pass of AirCare), check for body and undercarriage damage, inspect the brakes, tires, etc, and many other things.
Generally, at most inspection stations, if you fail the initial test for some reason, you can have the cause repaired, and then bring the vehicle back for one free retest. Inquire to see if this is the case wherever you go.
After passing this exam, you can now insure the vehicle. The ICBC agent will require the Title and bill of sale/transfer of ownership (which they will keep! Ask for copies), as well as the inspection report. They are also required to perform a visual inspection of the vehicle, to make sure the VIN matches all the paperwork, so you will have to bring the car to the agent. Also note that not all agencies will perform this inspection at all times, due to limited staff. Check before you arrive.
At this point you will have to pay the PST due, as well as your insurance fee for whatever period of time you choose. After that, they'll hand you a set of plates, and you're off! Congrats!
Federal Inspection
Shortly after bringing the car across the border, you will receive a notice from the Registrar of Imported Vehicles, noting that you've recently imported a vehicle into the country, and detailing the fact that you will have to take it through a Federal inspection before final approval is given to the vehicle. Note that this is a different inspection from the one in the above section, and unlike the provincial inspection, this is required no matter where in Canada you are.
You will receive a letter detailing the date you will need to have the inspection completed by, a list of inspection centers in your area, and a form detailing the requirements you have to meet.
During this inspection is where you'll have to have the recall notice from the manufacturer of the car, the correct emissions/safety standards stickers, proof of having the proper anchorages for a child car seat, and show compliance with DRL laws, if applicable to your year of vehicle. You will also need the paperwork that you received from the brokerage at the border.
If you pass this inspection, Transport Canada will mail you an approval sticker that you will have to put on your copy of the paperwork you received at the border, as well as French versions of some of the safety stickers in your car, and a sticker for your odometer stating that it is in miles.
The good news is that 1) it's a very short inspection (in my experience), and 2) it's free... it's covered by the fee you paid at the border.
My experience
The above is how the process is supposed to work, according to Canada Customs, Transport Canada, and ICBC. This is what happened in my experience.
I picked up my car just south of Seattle, after first purchasing a 3 day permit from a MV Licensing office in Washington. I proceeded to drive to the Douglas border crossing (Peach Arch), where I was informed by the Customs Officer at the booth that I was actually at the wrong crossing (see my note above in "At the border" re:approved points of entry). They allowed me to change my mind and proceed to the other crossing, but note that you will not be allowed to proceed through Canada to the other border crossing.. I had to turn around, cross back into the US, and then go to the other border crossing.
Upon reaching the correct border crossing, I waited in a long line just to be told that I'd have to go to the brokerage office first for the paperwork. This ended up being a rather lengthy form that requires the name and address of the seller and purchaser, some declarations about the condition of the vehicle, and the mileage and date of manufacture. After checking to make sure the vehicle was on the approved list, they took the fee, stamped the paperwork, and back to Customs I went.
After another wait in line, the officer requested the form from the brokerage, as well as the title and bill of sale/transfer of ownership. He inspected those and took copies, asked if the car had air conditioning, and then informed me of my total charges owing. (Note that if you want to know how it breaks down, ask now, not at the cash register, as they can't tell you there). I paid my money, and I was free to go!
Note that at no time did anyone at the border actually do so much as look at the car.. I could have been importing a semi-trailer, and they wouldn't have known. <!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo--> They also never requested the statement re:recalls, although after I offered it, the Customs agent did inspect it.
Also, the people at Customs had no problem with my driving the car with just the Washington State temporary permit (and neither did the police officer who followed me very closely 2 days later, although he inspected it pretty thoroughly <!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo-->, so I decided to do that and save myself a few days worth of temporary permit charges in BC. (Note that if you have a binder of insurance in effect on the car already, ICBC will only charge you the licensing fee for a temporary permit.. currently $3/day, min $10).
I then made an appointment for the PVIP, and took my car in for the inspection a few days later. Surprisingly, the only thing that failed was the back brakes (pads were too worn), so I ended up getting the fastest brake job in history, (the guy at the BCAA inspection station agreed to hold the report without marking it as failed as long as I could make it back the same day.. this at ~1:30 in the afternoon <!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo-->, brought it back, picked up my passed inspection report, and insured the car. :-)
At the ICBC agent, they requested copies of:
The title to the car (which they keep)
The transfer of ownership (ditto)
The paperwork from the border
The inspection report from the PVIP inspection
Lots of money. ;-)
After that, they cheerfully handed me a set of plates and an insurance sticker, and I was off.
Note... one thing I'm still trying to figure out after reading the papers about the Federal inspection is whether they were supposed to insure the car before the Federal inspection was complete... parts of the text hint that this shouldn't be possible, but it doesn't come out and say it anywhere, and I didn't have any problems.
The Federal inspection consisted of calling one of the locations on the list provided, and trying to make an appointment. I basically got told "it only takes a few minutes, just drop in during working hours". I did exactly that, and basically dumped a copy of every piece of paper I'd gotten so far on their desk. <!--emo&:)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/smile.gif" border="0" valign="absmiddle" alt=':)'><!--endemo--> They looked at the notice of recall, the receipt I'd gotten from a shop for the DRLs, and at the safety compliance stickers on the car, and that was it. The paperwork was stamped, I was told I'd be receiving a sticker to add to it from the government in the mail, and the process was finallycomplete!
Summary
I don't feel that the importation process was terribly difficult. There were many details that I needed to find out and take care of, but hopefully this document will help someone else make that process a little easier. The main thing you need to have is time... time to pick up the car, fill out all the paperwork (I was at the border for about an hour and a half!<!--emo&;)--><img src="http://asianet.ca/images/iB_html/non-cgi/emoticons/wink.gif" border="0" valign="absmiddle" alt=';)'><!--endemo-->, and to have the vehicle inspected (possibly twice). Add up all the costs, including your time, and make sure that it still makes sense for you to import the vehicle vs buying it locally. Personally, I saved approximately $3000 Can, as well as having the benefit of having a car that has both a unique color and options that were not available in Canada. However, that's due mostly to the current scarce supply of 2nd gen MR2s in Vancouver (esp '93s)... as always, YMMV!
Good luck... if you have questions about the process, feel free to e-mail me at "dsieber@express.ca".
--------------------------------------------------------------------------------
Other Links
<a href="http://www.autonet.ca/UsedCars/HowToImportAUsedCar.cfm" target="_blank">http://www.autonet.ca/UsedCars/HowToImportAUsedCar.cfm</a> |
|
|
|
