The Customs Duties, Taxes and Fees for Imported Vehicles in Canada

Are you importing a car to Canada? As per Canada Border Services Agency-CBSA and Transport Canada requirements, if your car is eligible for importation to Canada, you have to pay 5% Goods and Services Tax-GST and other duties and excise tax. Besides this when you apply for a license you will have to again pay the provincial or territorial sales taxes. In certain provinces, you have to pay 8% HST or Harmonized Sales Tax in addition to 5% GST. This you will have to pay if you live in Nova Scotia, Labrador, Newfoundland and Brunswick. However, you need not pay any duty on the imported vehicle if you are importing it for personal use which is manufactured either in Canada or the US or Mexico. If the vehicle is manufactured other than these three countries, the CBSA will assess the duties on your vehicle. The duties and taxes are calculated on the value or price you have paid or will pay for the vehicle in Canadian funds. Get all the required assistance from car import calculator for Canada if you are importing a car into Canada.

The total value or price on which the CBSA will levy duties and taxes in not only on the purchasing price of the vehicle but also on the other amounts you paid for foreign sales taxes and warranty payments which were collected by the vendor. You should be prepared to pay all these taxes and duties on the border when your imported vehicle needs to cross the border.

You must be prepared to pay 6.1% import duty if your vehicle is a non-NAFTA manufactured vehicle. The NAFTA vehicles are the vehicles which are manufactured or assembled the minimum up to 55% in Canada or the US or Mexico. The NAFTA vehicles are exempted from any taxes, duties and tariffs when sold in the US, Canada and Mexico. Besides the 6.1% import duty, you have to also pay 5% Goods and Services Tax or GST while importing a car into Canada. You have to pay these taxes while crossing the border. After crossing the border, you need to take the vehicle for registration in the province you are living. You are supposed to pay the provincial sales tax while registering your vehicle. The prices of the provincial sales tax vary depending upon the types of your vehicle. There are taxes like Air Conditioning Tax, Excess Weight Tax, Gas Guzzle Tax etc. which may be imposed upon you for an imported car.