View Single Post
      03-17-2013, 01:38 PM   #15
Veritable
Second Lieutenant
23
Rep
203
Posts

 
Drives: '13 Cadillac CTS-V Sedan 6MT
Join Date: Dec 2008
Location: Vancouver, Canada

iTrader: (0)

Quote:
Originally Posted by dreamspeed View Post
Wait what's the problem with selling the car yourself?
#1 is how the sales tax work up here in Canada (and also certain US states, it seems). When we trade in a used car to buy a new car, we only pay the sales tax on the price difference between the 2 values, if the new car price is higher obviously.

I can also list my car privately then have the dealer take over the transaction, which is the "in-and-out" a few of you have suggested, so I get private sale price and also the tax savings. Unfortunately I am not local to the selling dealer, so I think it will be somewhat difficult for me to list my car then close the sale 500mi away.

#2 Our provincial luxury tax for purchases over $55k comes back next month. That will be another 5% hit to me, so I was hoping to have the deal done before then. Hard to predict when a private sale will go through.

Of course that doesn't affect the selling dealer because they are in the next province over, so I didn't mention that.

Still, if they gave me a screaming deal on the new car but then lowball me on the trade, then it makes sense for me to explore private sale and in-and-out. However, they are lowballing me on the trade and then standing firm on the new car. I don't even see what I can work woth :-(