07-12-2017, 08:36 PM
(07-12-2017, 06:44 PM)p2ee Wrote: 2) Every time a car is sold and then re-sold, there is the HST that has to be paid. A cheaper new car with $20,000 value generates $2600 in taxes, not to mention the taxes generated on the re-sales. That tax revenue is not being considered and is probably at least $500 a year on average.
As Dan points out, this is a sales tax so not really relevant. In addition, you pay it only on the incremental value of the purchase ($20K new car with a $10K trade-in generates only $1300 in sales tax).