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Old 12th May 2019, 05:26   #1
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Advice needed : Importing a car to Canada from USA

Hi,

Seeking detailed process to import a car from USA to Canada. Online research did not yield any concrete conclusion. Would really appreciate if someone guides me if he/she has been through this situation.

Thanks!
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Old 12th May 2019, 09:54   #2
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re: Advice needed : Importing a car to Canada from USA

Look here:

https://www.riv.ca/ImportingAVehicle.aspx
https://www.riv.ca/ImporterChecklist.aspx

If it's a new car you wish to import, there may be no advantage at all, since US dealers no longer sell to Canadians without paying local taxes; and they don't give good pricing deals either.

Also, Canadian dealers are forbidden by their manufacturers to honour any warranty service or repairs or claims for new cars imported from the USA. Y9u would have to go back to the USA for any such thing.

Used cars on the other hand are quite OK. Please remember, you would need to get some work done to make the car compliant with Canadian rules (speedo/odo to read kms instead of miles, DRLs to be installed or made to work, emission standards to be met etc.). This would be done usually by Canadian Tire - they're authorised to do this. Only after that would you be able to register the car in Canada.

Go through the site I linked to for details.

Cheers and good luck.


Also read through this site: https://www.tc.gc.ca/en/services/roa...ed-states.html All links I gave you are official links from the Canadian government and will provide the latest and most valid info. Cheers

Last edited by tilt : 12th May 2019 at 09:59. Reason: Added one more link and text.
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Old 13th May 2019, 08:51   #3
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Re: Advice needed : Importing a car to Canada from USA

Great advice by tilt .

Just wanted to add that, unless it's a rare car or something you are really emotionally attached to, it's just better to sell the car in the current country & buy a new one in the new country. This is applicable in almost all cases, only exception being if the new country doesn't have enough choice of cars (hardly the case with Canada).
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Old 13th May 2019, 19:37   #4
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
Seeking detailed process to import a car from USA to Canada.
This is a very vague one-liner question.

Where are you located (your location says Toronto/Pune)?
Is it a brand new car you're looking to import?
Is it a used car that you're planning to purchase and then import?

tilt's links cover most points.
It'll be easier to import a new car, than an old one but it might not be financially advantageous to do so.
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Old 14th May 2019, 04:52   #5
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by GTO View Post
Great advice by tilt .
Quote:
Originally Posted by aah78 View Post
This is a very vague one-liner question.
Thanks a lot for your replies, feedback and suggestions. Much appreciated!

I am in Toronto, planning to import a relative's spare Audi A6 (2006) from the USA. There won't be any monetary transaction to be very frank. But, an on-paper sales transaction will have to be shown (Need advice on how to go about it to minimize the import duty).

RIV outlines the Canadian import procedure which I find pretty much straightforward once the vehicle crosses the border. However, the online articles suggest that USA export process is tedious and time consuming.

Also, could not find any concrete information on how much import duty I will have to pay while importing the car.

Thanks in advance!
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Old 14th May 2019, 08:29   #6
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
Also, could not find any concrete information on how much import duty I will have to pay while importing the car.
I think you will have to pay 6,1 % import duty as A6 will be Made in Germany. For cars manufactured with more then 55% content manufactured in US/ Canada/ Mexico there are no duties. In addition to customs, you will have to pay 5% GST at border and 8% PST at the time of registration. PST will depend on the province where you are getting the plate. So, for Alberta it will be Zero and 8% for Ontario. All these values will be calculated based on the market value, not sure what exactly will they refer to. Perhaps, you can get the car valued at 2-3 independent car dealership including an Audi certified and keep record of their offer.

If you are getting from a relative and you are not sure how long you are going to keep the car, you can drive with US plates if you can somehow manage Insurance, I am assuming you are not a Canadian citizen yet. Do check more on this as I could be wrong. Normally, Canadian residents are not allowed to drive US plates car in Canada.


https://www.crossbordershopping.ca/a...ies-taxes-fees

https://www.google.ca/amp/s/www.theg...ticle28655932/

Temporary Import

http://www.riv.ca/RIVExemptions.aspx

Last edited by Turbanator : 14th May 2019 at 08:34.
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Old 14th May 2019, 17:48   #7
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
I am in Toronto, planning to import a relative's spare Audi A6 (2006) from the USA. There won't be any monetary transaction to be very frank. But, an on-paper sales transaction will have to be shown (Need advice on how to go about it to minimize the import duty).

Also, could not find any concrete information on how much import duty I will have to pay while importing the car.
Ok, now that makes it a little easier.

I'm assuming the car is not modified (right?) has a clean title (preferably no Salvage, etc.), & is currently registered for private use & insured with inspection records in order.

[Are service records available? Probably not required, but every little bit might help.]

Make up a Bill of Sale (templates are available online) between you & your relative that states that you are purchasing the car for whatever $value (maybe $1, or $500, or whatever "current fair market value"), or that he/she is gifting you the car.
(Note: If it's a gift, then depending on the US state & the current value of the car, your relative may owe gift tax - if it's lower than a certain amount, then no gift tax is due).

Estimating import duty is not that difficult. Use Kelley Blue Book, NADA Guides to look up current "fair market value" of the car.

If the Bill of Sale states a lower amount (e.g. $1, or $500) then there is a chance that your import duty might be based on that amount but I guess, that depends on Canadian Customs.

Once you enter all the information into the Import Checklist link that tilt has provided, you should get a fair idea of the duties that you have to pay.


Quote:
Originally Posted by Turbanator View Post
I think you will have to pay 6,1 % import duty as A6 will be Made in Germany
.

.
.
for Alberta it will be Zero and 8% for Ontario.
Are all these fees for new cars, or used cars as well?
If I remember correctly, the rules to import a car into Canada from the US are a bit different (i.e. relaxed) for cars that were manufactured for sale in the US (due to the NAFTA agreement between the US, Canada & Mexico).
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Old 14th May 2019, 20:06   #8
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by aah78 View Post
Are all these fees for new cars, or used cars as well?
If I remember correctly, the rules to import a car into Canada from the US are a bit different (i.e. relaxed) for cars that were manufactured for sale in the US (due to the NAFTA agreement between the US, Canada & Mexico).
Yes, there are no Taxes as long as Vehicle is manufactured with at least 55 % parts Made in either of these three countries. But Audi A6, I doubt.
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Old 20th May 2019, 21:18   #9
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Re: Advice needed : Importing a car to Canada from USA

Considering another option:
- Car stays in my relative's name
- He adds me into his existing car insurance policy
- I bring the car here and use it without "importing" for 3 months or for the max duration legally allowed
- I import the car at a later date
- In the meantime, I check if I can get the non owner car insurance policy in Canada

Benefits envisaged:
- No upfront spending of approx 1k to import and register the car
- No need to deal with various authorities
- If car breaks down, it will be easy to get it back in the USA since it's not imported
- No monthly insurance premium of at least CA$ 350

Risks/Shortcomings:
- US insurance company rejects the claim if some thing happens.
- Short term cost benefits

I am more concerned about the insurance company honoring the claim if something happens.
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Old 21st May 2019, 05:42   #10
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
Considering another option:
- Car stays in my relative's name
- He adds me into his existing car insurance policy

Risks/Shortcomings:
- US insurance company rejects the claim if some thing happens.
- Short term cost benefits

I am more concerned about the insurance company honoring the claim if something happens.
Since your relative will be adding you as a listed driver on his insurance policy, i dont suppose you should be worried about the claim not being honoured.

Quote:
Originally Posted by MunnabhaiMBBS View Post
Benefits envisaged:
- No monthly insurance premium of at least CA$ 350
It is possible your relative may need to pay a small extra with adding you to his policy, however i may be wrong.
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Old 21st May 2019, 19:20   #11
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
Considering another option:

I am more concerned about the insurance company honoring the claim if something happens.
I make occasional trips to Canada for vacation & from what I have read - a car owner from the US can legally drive his/her car in Canada, on US insurance, for up-to 6 months, as along as he/she is a tourist.

I don't know how it works if you're not the registered owner of the car but your name is listed on the insurance policy (since you won't be in Canada as a tourist).
Have him contact his insurance company & find out if that'll work. They'll give you a better answer than us speculating here.
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Old 22nd May 2019, 11:15   #12
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Re: Advice needed : Importing a car to Canada from USA

Quote:
Originally Posted by MunnabhaiMBBS View Post
Considering another option:
- Car stays in my relative's name
- He adds me into his existing car insurance policy
- I bring the car here and use it without "importing" for 3 months or for the max duration legally allowed
- I import the car at a later date
- In the meantime, I check if I can get the non owner car insurance policy in Canada

Benefits envisaged:
- No upfront spending of approx 1k to import and register the car
- No need to deal with various authorities
- If car breaks down, it will be easy to get it back in the USA since it's not imported
- No monthly insurance premium of at least CA$ 350

Risks/Shortcomings:
- US insurance company rejects the claim if some thing happens.
- Short term cost benefits

I am more concerned about the insurance company honoring the claim if something happens.
Quote:
Originally Posted by Turbanator View Post
*SNIP* Normally, Canadian residents are not allowed to drive US plates car in Canada. *SNIP*
Quote:
Originally Posted by aah78 View Post
I make occasional trips to Canada for vacation & from what I have read - a car owner from the US can legally drive his/her car in Canada, on US insurance, for up-to 6 months, as along as he/she is a tourist.*SNIP*
MunnabhaiMBBS, please read Turbanator's quote I have linked to - you are not permitted to drive a US registered car in Canada as a Canadian resident or citizen.

aah78's case is different - he is a resident/citizen of the USA with a US registered car. As such, he is permitted to drive a US registered car in Canada, just like you're permitted to drive a Canada registered car in the USA.

Such being the case, I would not recommend you do what you're planning to do.

Cheers
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