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Used boat taxes?
Posted: Sun Jul 09, 2017 3:43 pm
by jshow89
I just bought my first boat off of a fellow Fish-Hawker, I just completed the online pleasure craft license transfer, i am just wondering will they notify me if i need to pay the HST on this purchase? or is this something i need to do or not? i have no idea, i dont want to sit idle on something and get bit in the butt months from now
Re: Used boat taxes?
Posted: Sun Jul 09, 2017 5:29 pm
by Trout_83
If things haven't changed since I bought mine... you won't pay taxes on the used boat. You will however need to pay tax for the trailer. This will happen when you go to the MTO to get a trailer plate/registration and all that. I got a separate receipt for the boat and trailer so that I could bring my trailer receipt to the MTO for this. Get a receipt for what would be fair value for the trailer (I think mine was for somewhere around 800-1000).
Re: Used boat taxes?
Posted: Sun Jul 09, 2017 8:00 pm
by Cyber
You will "eventually" get a notice requesting you to tell them what you paid for the boat and they will expect their tax submission.
I've gotten them twice for two different boats. One seemed to be around a year after the transaction, the other maybe 3 months.
Re: Used boat taxes?
Posted: Mon Jul 10, 2017 6:19 am
by curls
Cyber wrote:You will "eventually" get a notice requesting you to tell them what you paid for the boat and they will expect their tax submission.
I've gotten them twice for two different boats. One seemed to be around a year after the transaction, the other maybe 3 months.
I'll just leave this little note here...
There is NO 'book' on used boat prices.
Do with that information what you want.
Re: Used boat taxes?
Posted: Mon Jul 10, 2017 11:10 am
by Trout_83
It's been 2.5 years since I bought mine...I may have gotten a free pass!
Re: Used boat taxes?
Posted: Mon Jul 10, 2017 12:03 pm
by banjo
There are taxes on the transfer of a used boat. From the Transport Cda website.
Do I have to pay taxes when buying a new or used pleasure craft?
For the application of the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) to the supply of a new or used boat, please contact the Canada Revenue Agency (CRA) by calling 1-800-959-8287.
Additionally, Provincial Sales Tax (PST) may need to be paid to the provincial/territorial government. You should contact your provincial/territorial Ministry of Finance to get more information on how to remit the PST.
For links to provincial/territorial departments of finance, business service centres, and other tax and financial services please visit the related provincial and territorial Canada Revenue Agency web sites.
I have been able to pay the tax on the boat portion along with the trailer portion at Service Ontario. Then when I get a letter in the mail I send a copy of that receipt. One boat I got, it was 3 or 4 years after the purchase that CRA sent a request that proved I paid the taxes.
Re: Used boat taxes?
Posted: Mon Jul 10, 2017 12:39 pm
by OntarioRider
banjo wrote:There are taxes on the transfer of a used boat. From the Transport Cda website.
Do I have to pay taxes when buying a new or used pleasure craft?
For the application of the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) to the supply of a new or used boat, please contact the Canada Revenue Agency (CRA) by calling 1-800-959-8287.
Additionally, Provincial Sales Tax (PST) may need to be paid to the provincial/territorial government. You should contact your provincial/territorial Ministry of Finance to get more information on how to remit the PST.
For links to provincial/territorial departments of finance, business service centres, and other tax and financial services please visit the related provincial and territorial Canada Revenue Agency web sites.
I have been able to pay the tax on the boat portion along with the trailer portion at Service Ontario. Then when I get a letter in the mail I send a copy of that receipt. One boat I got, it was 3 or 4 years after the purchase that CRA sent a request that proved I paid the taxes.
Same thing happened to me. I had to contact my ex to get her to pay her half as it was a joint purchase while we were together.
Re: Used boat taxes?
Posted: Tue Jul 11, 2017 2:46 pm
by lape0019
Like stated above, you will need to pay taxes sooner or later. I received my notice 2 years after I bought the boat but I paid it at the MTO along with my trailer taxes and sent the green slip ( a photocopy of it anyway) to the requesting office to show the amount fully paid.
So you can sit idle if you want. Just know you will get a request to pay the taxes on the boat between 3 months to 3 years from now most likely.
Re: Used boat taxes?
Posted: Wed Jul 12, 2017 2:20 pm
by scarkner
lape0019 wrote:Like stated above, you will need to pay taxes sooner or later. I received my notice 2 years after I bought the boat but I paid it at the MTO along with my trailer taxes and sent the green slip ( a photocopy of it anyway) to the requesting office to show the amount fully paid.
So you can sit idle if you want. Just know you will get a request to pay the taxes on the boat between 3 months to 3 years from now most likely.
Yup - my first boat, it took 2-3 years before they sent me a notice to pay taxes. The frustrating part is that I was pretty sure I paid them when I registered the boat license, but since I couldn't find the receipt, I had to pay again. They actually included the amount they thought the boat was worth in the paperwork and basically said that I had to prove if their assessment was wrong (and it was wayyyy high). Luckily I did have the original purchase paperwork so could at least prove that point.
Re: Used boat taxes?
Posted: Thu Jun 14, 2018 2:06 pm
by zman
Does anyone know the link to this site , I just boat a used aluminum 14Ft boat
Do you still have to do this for this little boat ?
Re: Used boat taxes?
Posted: Thu Jun 14, 2018 2:14 pm
by scarkner
zman wrote:Does anyone know the link to this site , I just boat a used aluminum 14Ft boat
Do you still have to do this for this little boat ?
If the boat is licensed and has an ownership then yes. If it is just a run-about with a 9.9hp then probably not (I mean... legally you are meant to pay tax on friggin' everything in ontario, so I dunno about the exact letter of the law)