GST payable?

[HotShotHarry]

Im looking at buying a used backhoe from a private seller in BC. Is GST payable to the seller?

 

[sledderdoc]

Im looking at buying a used backhoe from a private seller in BC. Is GST payable to the seller?

Only if he is a dealer. Even if it's a business he still can't charge GST on used equipment.

 

[Highfly]

Found this on line.

Tax Tip: Do You Have to Pay Taxes on Used Cars in British Columbia, Canada?: Here's a helpful tip on whether or not you have to pay taxes on used cars in British Columbia | TurboTax Canada

 

[HotShotHarry]

Thanks Doc. I think he has some sort of business as I see he has trucks and stuff in the background. Not a dealer though.

 

[new_nytro]

I am pretty sure if it's a business asset you will have to pay GST.

 

[HotShotHarry]

Thanks Highfly. I wonder... is a backhoe considered a vehicle? Also I thought I read that if it was delivered out of BC that it would become tax exempt?

 

[HotShotHarry]

I am pretty sure if it's a business asset you will have to pay GST.

It is probably a business asset to the seller but will be a personal asset to me if that makes a difference.

 

[summit889]

if it was bought in a company and he was reimbursed gst, he will have to remit gst when he sells it to you. whether it's added or he includes it in the price is between you two

 

[rsaruk]

When our company sells used equipment to private buyers we still have to charge gst. It may be PST exempt if it is going out of province. If it is a personal guy selling and not his company then you should not have to pay gst.

 

[intmid8or!]

When our company sells used equipment to private buyers we still have to charge gst. It may be PST exempt if it is going out of province. If it is a personal guy selling and not his company then you should not have to pay gst.

this ^^^

 

[HotShotHarry]

if it was bought in a company and he was reimbursed gst, he will have to remit gst when he sells it to you. whether it's added or he includes it in the price is between you two

This is quite likely the case. Thanks