Transferring Car Ownership.

[DJ Trance AZ]

I am about to sell my friend my car and I have a Q that I would like to seek clarification:

1). Is he (the buyer) required to pay tax when he does the transfer? What other fees are involved during this transfer, besides Safety Testing and E-Testing?

Thanks.

.Eric

[DragonZealot]

Buyer pays PST on the higher of wholesale or transaction value.

I think you have to buy a UVIP ($20) at the MTO place and also pay for license plate if the buyer does not have one.

http://www.mto.gov.on.ca/english/dan...sed.htm#retail

[jerryhung]

I bought my friend's car 2 months ago

He did the safety, e-test

We went to MTO to do the transfer (I paid $7500 while wholesale value is $8000, so we paid tax $8K), got a new license plate

Took the old license plate down, put the new one on, and it's ours (after giving him the cheques of course)

[DJ Trance AZ]

Thanks for answering the Qs above...I do have another one for you guys...

1). So tomorrow I will go to MTO with the buyer to do the transferring. I will be bringing the car ownership stuff and other documents. Do I need to drive the car that I will be selling to the buyer, OR can I just drive any car there to do the work?

Thanks.

.Eric

[DragonZealot]

They need to see the papers only. The car does not need to be there.

[roccorally]

As long as you have the paperwork (Bill of sale, the UVIP and the back of the green ownership slip, safety cert) filled out in full and signed in the right places by both parties, your good to roll.

[Dealz-4-U]

sort of similar question, but what if my dad gave me his old car for free? do i have to pay tax on that if it was a gift?

[roccorally]

Yes, Parent/Child gifts are not tax exempt for some reason.

If the vehicle has a black book value of less then 1000$, you will pay tax only on how much you declare as the price.

If it is above 1000$, you pay tax on the higher amount.

HTH

[DJ Trance AZ]

As long as you have the paperwork (Bill of sale, the UVIP and the back of the green ownership slip, safety cert) filled out in full and signed in the right places by both parties, your good to roll.

Uh oh, I don't think I still have the original sales receipt for my car. What can I do now??

.Eric

[ben123]

Yes, Parent/Child gifts are not tax exempt for some reason.

Parent/Child gifts ARE tax exempt (1 tax-free transfer is allowed every 12 months). What you still need is a safety certificate and drive clean. (none is needed spouse/spouse)

I remember I had to fill out 3 forms, and have one of them notarized when I helped my parents transfer a car to my brother. you should approach a ministry office beforehand, and they will give you all the paperwork to fill out, and have signed by both parties.

[blacknissan]

Uh oh, I don't think I still have the original sales receipt for my car. What can I do now??

.Eric

UVIP counts as the bill of sale.

[i3_dawg]

wow thanks for the answers, i was goin to ask the same question as the op

[PrinceMS]

sort of similar question, but what if my dad gave me his old car for free? do i have to pay tax on that if it was a gift?

No, you have to sign a affadevit that its a gift ($10)
you will need a valid emission test for that card
you *may* need safety of that car
They may charge you $20 for the new ownership

P.S: You can have it changed to two people's name as well (if you wish so )

[mapleflag]

Parent/Child gifts ARE tax exempt (1 tax-free transfer is allowed every 12 months). What you still need is a safety certificate and drive clean. (none is needed spouse/spouse)

I remember I had to fill out 3 forms, and have one of them notarized when I helped my parents transfer a car to my brother. you should approach a ministry office beforehand, and they will give you all the paperwork to fill out, and have signed by both parties.

Posting to confirm that above is correct.

[DAMG]

I have a question, i bought a car cash from the dealer and then he went and got the ownership transferred to my name, so im the owner now & have the new owner slip. My question is now when i go to an mto to make my ownership to my mother will i have to pay car tax?

i don't know if the dealer already paid the transfer amount from what i paid him.

I have the safety and emissions papers ready.

just want to know will i be paying car tax or that was already done when the dealer transferred to my name. I bought the car as is.