Used watercrfat purchase HST, has this happened to you?

[mastercaster1]

Hey guys, just wondering if this has happened to anyone? I purchased a Sea Doo in June 2023 used from a neighbour on the lake. We did everything by the book with bill of sale registration change etc. I just now over two and half years later received a letter stating that I owe the HST on the purchase because it was a private sale. At the time I remember transferring the trailer at ServiceOntario and paying hst on that. I also vaguely remember something about taxes on the craft being discussed but honestly forgot about it since then. I am not disputing HST on used vehicles, boats etc but am just perplexed at the process? It is so easy to pay taxes at Point of Sale because of the excitement and less so after 3 full summers of using the Sea Do LOL! Has anyone successfully negotiated a reduced amount due to the time passed being unreasonable?

MC

[Attila]

In short, yes.

The trailer is registered with the province whereas the boat or in this case Sea Doo has to be registered federally.

Two different levels of government will not always mean the same timelines...

[allister1944]

i bought a boat motor an trailer a 14 ft lund about 4 or 5 years ago at the time i had to regestra the boat trailer cause i needed plates for the trailer but not the boat i paid 1000.00 for the package and the trailer was rough i had to put lights an wiring an tires an wheels an berings so i told the mto i paid 100.00 for the trailer an pait the tax on 100.00 an then later i founf out i had to regester the boat cause it had a 15 hp motor and they said if i got pulled over on the water with no regestration it would be a 300.00 fine so i regestrad the boat about a year ago now i just recieved a letter from the ministry of finance saying i never paid the tax on the boat an the want me to sent it to them in 60 days

[Fisherman]

Well that goes to show the left and right hand of the gov't must use someone elses hands to wash them. Also reminds me don't lose important documents that can prove you registered it.

[Limacharley]

A boat registration used to be handled by Canada Customs at the nearest office to your home.

Once updated, a copy was sent to the office where the vessel was originally registered thus the numbers on the front of your boat...29E, 42E, 59E corresponded alphabetically to Customs ports in Ontario.

Customs did it as a courtesy but when they became an Agency the Federal government did a shuffle of responsibilities around 2001. CBSA is more law enforcement now and less tax focused.

You updated the vessel registration, then the Tax Dept sent you a bill. Only too many people were circumventing the tax by not registering their purchase.

Agree or not. The government gets their cut just like a used trailer, vehicle, skidoo etc.

Now you must register your purchase and carry proof while boating as the OPP will be asking for your vessel registration.

[mykola]

I wonder if your local tax expert can pay the taxes for you when you do your tax at the end of year. Then you don’t have to wait 3 years or however long it takes. I just got a new used boat and no taxes paid, maybe I should ask my tax guy if I can just pay it when I file.

[Limacharley]

I think the easiest way to go about this is when you go to Service Ontario to change the plates on the trailer, ask to pay all the taxes then and there. It's HST right? The Province gets their portion and the feds get theirs.

Or they might suggest something else.

[Mike O]

I just paid at Service Ontario .Get a bill for just the boat and another one for the Motor .Just pay the tax on the boat
Mike

[miro]

I tride paying the taxes at the mto, and they sent me away with no clear answer to what agencie I should contact to pay the sales tax on the used boat. Who do I contact? The trailer was purchased new, the boat is registered in my name, but still havent figured out how to pay the sales tax. Its been ten years since I purchased it. lol

[JPerch]

If the letter did not come by registered mail, throw it out….they dont know you got it?

[SpeerZ]

J-perch I like your way of thinking!!!