Selling a used bike in Ontairo

O

o0ollo0o

Well-known member
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I want to sell my current bike and I'm looking for information on how to do it.

Do I need to provide a Used Vehicle Information Package (UVIP)?
Do I need to provide a safety on the vehicle?

I know people prefer to get this stuff on their own as it can be falsified before it gets to them.

Any taxes that I need to pay or collect on the sale?
 
You are supposed to supply the UVIP, not necessary to provide safety, but it usually helps sell if you do. If you do not provide safety, then make sure the bill of sale you write up says "as is".

Taxes are collected at the MTO office when ownership is changed over. You keep plates and plate portion of ownership and sign the back of the other part of the ownership once the deal is done.
 
Safeties expire after 36 Days.
UVIP's don't expire, per se, but the MTO only guarantee's the information to be correct for 30 days of date printed.
 
Just two follow up questions...

1.
So, it's probably better to put the bike up for sale and get the UVIP once you have a serious buyer?

2.
Taxes are collected from just the buyer then?
 
Yes and yes. Although some buyers may be suspicious if you don't already have the UVIP. Protect yourself and get the ownership transferred in to the purchaser's name, either with a safety as FIT or without a safety as UNFIT.
 
Put the bike up on kijiji for a reasonable price, post lots of pics and details. The offers will start rolling in. You don't have to provide anything except the signed-over ownership at time of sale. But the more you're willing to provide the easier it will be to move. Taxes you don't have to concern yourself with except you should keep a record of what the buyer plans to claim as the purchase price in the event of a follow up notice from the MTO.

What bike?
 
Get the UVIP now.

It gaurantees to prospective buyers that there's no lien on the vehicle and that you own it to sell it.

Next, be reasonably certain your bike will certify (lights work, frame's good, brakes work, etc.)

And finally, have a (reputable) shop lined up to certify it at the drop of a hat (within two hours' notice) when the sale is at hand. As a buyer, I don't want time to wait around and change my mind if I realize I'm making a mistake.

Secretly negotiating the "public" sale price (13% of which the buyer will remit when he goes to a Service Ontario kiosk to re-register the vehicle) is a common occurrence. It's a tax dodge, plain and simple. It works brilliantly when the buyer and seller remember what the "negotiated" sale price is.

It works not so well when they forget. :rolleyes:
 
AF4iK said:
Put the bike up on kijiji for a reasonable price, post lots of pics and details. The offers will start rolling in. You don't have to provide anything except the signed-over ownership at time of sale. But the more you're willing to provide the easier it will be to move. Taxes you don't have to concern yourself with except you should keep a record of what the buyer plans to claim as the purchase price in the event of a follow up notice from the MTO.

What bike?
Click to expand...
Legally the seller is supposed to provide the buyer with a UVIP.

MTO said:
Sellers must:

  1. Buy this package if you are selling a used vehicle privately in Ontario
  2. Show it to all prospective buyers
  3. Give it to the buyer when you sell your vehicle.
Click to expand...
 
Mr. Lowside said:
Next, be reasonably certain your bike will certify (lights work, frame's good, brakes work, etc.)
And finally, have a (reputable) shop lined up to certify it at the drop of a hat (within two hours' notice) when the sale is at hand. As a buyer, I don't want time to wait around and change my mind if I realize I'm making a mistake.
Click to expand...

I usually go to Rosey Toes shop, but I live close to the 404 and 401. Anything closer to me?


Mr. Lowside said:
Secretly negotiating the "public" sale price (13% of which the buyer will remit when he goes to a Service Ontario kiosk to re-register the vehicle) is a common occurrence. It's a tax dodge, plain and simple. It works brilliantly when the buyer and seller remember what the "negotiated" sale price is.
Click to expand...

Does this benefit me or the buyer or both? An example would be great for my weak tax knowledge.
 
o0ollo0o said:
I usually go to Rosey Toes shop, but I live close to the 404 and 401. Anything closer to me?




Does this benefit me or the buyer or both? An example would be great for my weak tax knowledge.
Click to expand...

benefits the buyer only and you for being a nice guy. Example. I bought a bike for 4500$, seller wrote 1500$ on the bill of sale( a section is on the uvip) now I the buyer pays tax on 1500$ only. They may send the seller a letter asking if that was the actual sale cost. Just toss it in the garbage. This does not work with cars. Mto has access to a book value and you will pay tax on the higher value. I usually get two bills of sale. One for actual value and one for the lower.

D
 
DRZSMDUDE said:
benefits the buyer only and you for being a nice guy. Example. I bought a bike for 4500$, seller wrote 1500$ on the bill of sale( a section is on the uvip) now I the buyer pays tax on 1500$ only. They may send the seller a letter asking if that was the actual sale cost. Just toss it in the garbage. This does not work with cars. Mto has access to a book value and you will pay tax on the higher value. I usually get two bills of sale. One for actual value and one for the lower.

D
Click to expand...

Not true for all transactions...if play it right it can benefit both. The seller can sometimes negotiate for closer to the asking price if the buyer and seller can agree to write up a receipt for much less. Example: suppose best offer I have so far is 3000 bucks, but Joe Blo says he will give me more if I make out a receipt for much less.

Even though its against the law, how can anyone feel bad about doing this? We shouldnt be paying sales tax on anything used anyway. Just gives government more money to waste.
 
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