Wondering how much money you should put aside when moving your car from the U.S to Canada? Although your car transport service provider in Canada should take care of everything for you, read the bellow given fees, taxes and duties to get an idea of the expenses:
Taxes and Duties When Importing to Canada:
Import Duty: All vehicles that are non-NAFTA will have a 6.1% import duty. If your vehicle is manufactured or assembled in the U.S, Mexico or Canada with at least 55% content then its NAFTA and exempt from import duty.
GST: The Goods and Services Tax is levied whenever a new or used vehicle is imported to Canada. You will pay a 5% tax on the value of the car. You can immediately pay the GST to Customs Agents in Canada when moving it across the border.
Note: You will also pay this tax on any new or use vehicle purchased within Canada.
PST: The Provincial Sales Tax is levied once the car is successfully imported into Canada. The tax will be based on the current rate of your respective province at the time of the import.
AC Tax: Yes, this is another necessary tax called the Air Conditioning tax that you have to pay immediately after crossing the border. It is typically $100.
Excess Weight Tax: Depending on the weight of you vehicle, you may have to pay some tax. If a car’s weight exceeds 2,007kg or 4,425lbs then an excess weight tax is levied.
Gas Guzzler Tax:
The Canadian government imposed a new tax on 19th march, 2007 called as the Gas Guzzler Tax on the fuel-inefficient automobiles. This tax applies or all new cars imported from the U.S or purchased in Canada. All the vehicles with weighted average fuel usage rating of over 13 litres per 100km will be subjected to this tax. These are the different tax rates:
- If the car uses 13 but under 14 litres for every 100km then $1,000 tax
- If the car uses 14 but under 15 litres for every 100km then $2,000 tax
- If the car uses 15 but under 16 litres for every 100km then $3,000 tax
- If the car uses 16 litres or more for every 100km then $4,000 tax
RIV: There is a fee to be paid to the Registrar of Imported Vehicles Canada and that’s $195 + the General Sales Tax in all Canadian provinces except Quebec – you pay $195 + General Sales Tax and also Quebec Sales Tax for it. You can pay this tax immediately when you arrive with the car at the border. All vehicle imported into Canada have this fees.
Safety & Emission Fee: When the car is imported into Canada, it needs to go through safety and emission inspection to ensure it meets Canadian standards. Most Canadian territories and provinces have their own programs for safety and emission inspection so we cannot give you a specific number. Contact the motor vehicle department of your province to know more.
Over to You:
If you use a car shipping service provider in Canada, then all the fees, duties and taxes payment and document preparation and customs handling will be done by them. You won’t have to go through any hassle that comes with transporting a car to Canada.
We at Canadian Car Shipping offer vehicle transport services from U.S to Canada at a fraction of cost, give us a call to know more