US/CAN $$ Exchange - Let's take advantage somehow


#101

BRB. Going to buy a Zed O Six.


#102

Find one in Alberta and I’ll help you drive it home :tup:


#103

@Minglor did you mean 2.5% for trucks?


#104

it was NOT a typo


#105

:kiss:


#106

25% on trucks


#107

I’m figuring that they place pick up trucks under autos and trucks is referring to semis and other big rig vehicles.


#108

Gas Guzzler tax is significant on a c6 z06, $2,600


#109

I wasn’t certain on this, but I was planing to pay the gas guzzler tax at the time of importation (when I drove over the boarder.) However i’m not sure if this is necessary and you might not need to pay it until tax time. Kinda like when you buy items out-of-state and you’re supposed to pay NY tax on them but no one ever does.


#110

has the window passed?

CDN dollar gained almost 3 cents this week up to 1.38ish…


#111

Well when you posted the thread it was 1.40 lol


#112

yeah but it got up above 1.45 in the meantime


#113

It was due to the pop in oil this week. Lets see if that is sustained or comes back down. I was all set to book the hotel for a trip to Mexico through Signature/Sunwing to save ~30% over US prices…waiting until it goes back up a bit :slight_smile:


#114

yeah i hope Iran floods the market HARD!!!


#115

Are we sure you have to pay gas guzzler tax on used?


#116

The language on the customs website does not distinguish between new and used so I would assume your liable for the tax. The IRS collects the tax for cars cars with combined MPGs less than 22.5.


#117

Yes, however again I’m not certain that you pay this at the time of import. If you’re supposed to pay this when you do your taxes then it’s up to you to remember to do it if you want to be above-board.

Basically all new vehicles in the US are subject to the gas guzzler tax. The reason you don’t pay it again when you buy used in the US is because the first (new) buyer already paid it. When you’re importing a car that was originally sold another country, congratulations now technically you’re the first person to own it according to the IRS / US.


#118

Someone who imported a car and had a good experience:

25% off (or more) from your New/Used Car Purchase - Buy In Canada, Bring to US
This deal is fairly involved and requires some prep work, but it can be very lucrative for anyone in the market for a new/pre-owned car. Below is a breakdown of my deal and how you can go about replicating

My Deal

US Prices
2014 Infiniti QX80 w/ Tech Package, Theater Package, Wheel Package, Deluxe Touring Package, 10,000-20,000 Miles: $62,000 USD plus taxes (estimated to be about $4,200), Doc Fee (estimated to be about $300), registration (estimated to be about $200)

TOTAL US COST: $66,700

Canada Prices (Same vehicle, same options): $60,000 CAD.

Importing the vehicle comes with other costs and complexities, so here’s how it breaks down:

Vehicle Cost in USD (based on $0.764 conversion): $45,840 USD
GST (Canadian Tax at 5%): $2,292 USD
Doc Fee: $304 USD
US Border Import Duty (vehicle manufactured outside North America): $1,200 USD
US Registration & Taxes (Utah tax rate of 6.5%): $3100

TOTAL CANADA COST: $52,736

SAVINGS: 26.4% or $14,000 USD (even more if you get your GST back)

Important Notes:
GST - There is a good chance this can be refunded. I filed a form through Canadian government stating I exported the vehicle within 60 days of purchase, so I am supposed to get that GST cost back since I’m paying taxes when I register it in the US. Will report back if that comes through GST Rebate Link [gc.ca]

Duty - If the vehicle was originally manufactured in North America, this duty of 2.5% would not apply, making the deal even better.

Required Documentation - At the border you will need some information. All details are in this link: Link [cbp.gov]. The most important to do in advance is the Letter of Compliance from the manufacturer stating that the vehicle complies with all EPA and safety standards. Border crossing with the proper documents took about 10 minutes.

Registering in the US: Bring all stamped documents from the border, along with your state’s required documentation to the DMV. Also, bring the bill of sale from Canada, originals of the registration transfer from Canada (they don’t have titles), and the bill of sale from when the previous owner traded in the vehicle (if used). This will be taken by the DMV in order to legally register it in the US.

Warranty - This is an important one. I was originally going to buy a brand new Infiniti, but I learned that Infiniti voids the warranty if the vehicle does not stay in the origin country (in this case, Canada) for at least 6 months. That’s how they protect US dealers from people doing this. So either buy a vehicle that is used, or just accept that they may void the warranty. Also, check with each manufacturer as they have different rules. My Infiniti is 1 year old and the warranty is valid until 60,000 miles and can be used at any dealership in Canada or the US.

Metric vs. Miles - Remember that in Canada they use the metric system. This comes in to play in a couple of ways. First, your speedometer will show Km/h in larger numbers, and the smaller numbers will be the MPH. It takes some getting used to, but is not a huge deal. The odometer will also be in Km. That means you will need to run a simple calculation when factoring in warranty. My Infiniti in the US, for example, has a 4-year, 60,000 mile warranty. In Canada, it’s a 4-year 100,000 km warranty (equivalent of about 62,000 miles). You can take the vehicle somewhere to get the instrument panel converted, but I don’t plan to. I was quoted about $500 to make the change.

Conclusion - This deal is not for the shy or those unwilling to do a little leg work. I also spent about $300 driving this car about 1,000 miles from Canada to my house. If you live closer to a border, it will be easier. Slickdeals is full of lots of people willing to put in some work to save some money, so I thought I’d at least pass along my story. For me, saving $14,000 on a car is certainly one of my very slickest deals ever. If I can get my GST back, I’m north of $16,000 in savings. The real savings here is finding a vehicle that prices out about the same in Canadian dollars and taking advantage of the exchange rate while it’s to the advantage of US citizens. To my friends up north, we love ya and you guys did the same thing when the CAD was stronger than the USD!

Feel free to hit me up with specific questions if you are interested. Good luck and happy savings!

And someone having an issue… but sounds like he went to a small dealership who didn’t really understand what they were doing and didn’t get a purchase agreement:

Hey guys, looking for some advice here. About 2-3 weeks ago i purchased a 2013 Nissan GTR from a dealership in Sherbrooke, Quebec, Canada (I’m in the US by the way). On email the sales person agreed to a price in US Dollars (USD). They asked for a credit card deposit of $2k right away and the rest be by certified check. I sent the checks for the exact amount and verified with the sales person before i sent them overnight. As you may or may not know, the Canadian dollar is pretty weak right now against the US Dollar, and between when the “checks cleared” and now the currency has changed, and they are demanding i pay them in Candadian Dollars an amount that translates to more money from me than what i had agreed to in writing. I’ve spoken with the manager multiple times and he keeps pushing back saying the owner is losing money on the car and doesn’t want to lose more, i keep telling him how much money he is making or losing is not my business, they agreed to a price and that’s all that matters. So right now he has over $50k of my money in his hands and the car. What can i do? Call the local cops? Have a laywer send them a letter? Please help if you can.


#119

I talked to my uncle, he’s been buying a lot of cars from Canada, gas guzzler is around 4% of sale price, or so on anything new than 2007 and combined mpg of less than 22.5


#120

https://www.fueleconomy.gov/feg/info.shtml#guzzler

[TABLE=“class: std-table, width: 100%”]
Gas Guzzler Tax
[TH=“class: table-header-first, bgcolor: #7099CC, align: center”]Unadjusted MPG
(city/highway combined)[/TH]
[TH=“class: table-header-first, bgcolor: #7099CC, align: center”]Tax[/TH]

At least 22.5
$0

At least 21.5, but less than 22.5
$1,000

At least 20.5, but less than 21.5
$1,300

At least 19.5, but less than 20.5
$1,700

At least 18.5, but less than 19.5
$2,100

At least 17.5, but less than 18.5
$2,600

At least 16.5, but less than 17.5
$3,000

At least 15.5, but less than 16.5
$3,700

At least 14.5, but less than 15.5
$4,500

At least 13.5, but less than 14.5
$5,400

At least 12.5, but less than 13.5
$6,400

Less than 12.5
$7,700

[/TABLE]