F
fasal
Guest
Hi, This post is very informative, however ther are some queries to ask about some specific topic. If someone can help me then please send me a private message. Thanks,
Not sure if this has been brought up...
What happens if the owner of the vehicle brings it over the border and then sells it to a Canadian? How does the procedure differ?
Well my new to me toy is here and registered in Ontariario in my name but not yet plated (more later).
I couldn't find what I wanted here at a price I could justify so I went cross border shopping. This is my experience but not necessarily what will happen to you. FWIW it was a 1998 Goldwing SE, low miles, in mint condition at 2/3 the price of a similar bike here.
Step 1) I found a bike that I liked and was close enough to make the venture low risk. It was in Michigan and the worst case would have been ten hours of driving for nothing if things didn't work out. That beats Arizona.
A plus was that the seller was a saint in that he wasn't in any rush so I had time to check out the paperwork and make the various arrangements.
Someone with time on their hands might think about writing a thread on how to go about sourcing a bike in the USA. There are pitfalls but from what I've heard most buyers are really happy with the deals and treatment.
We agreed that I would come to get the bike and he would get full payment at that time so I didn't even risk losing any deposit if I didn't like it.
Step 2) read all 37+ pages of this thread. There are very important tips among some very silly questions.
Before you start make sure the bike (IF under 15 years old) has a compliance sticker, usually on the frame near the handle bars. This sticker is the bike's lifeblood. If it isn't there ask some serious questions.
Step 3) Get the ball rolling by faxing a copy of the ownership to US export. You can get the contact number for the Port of Export off the internet. I used Port Huron (Sarnia). Also check their hours of operation.
You do this at least 72 hours before you export the bike. KEEP A COPY OF YOUR FAX TRANSMITTAL CONFIRMATION. They will ask for it to speed things up. The owner can do this for you (The ownership aka title does not have to be in the buyers name)
Step 4) You should also get a Recall Clearance Letter. The seller got one for me from a local authorized dealership. Honda Inc is apparently not cooperative.
Step 5) Go get the bike. I rented a trailer from Hog Haulers and it was worth every penny. Keep a copy of the rental agreement with you so they don't suspect you of smuggling trailers.
VERY IMPORTANT !!!!!
When crossing into the USA you must declare if you are carrying more than $10,000.00 in any financial vehicle, cash, travellers cheques, certified checks or any combo. If you do not and they catch you they can sieze the money.
Step 6) I got the bike from the owner and he also threw in two spare seats, two extra windscreens, a factory manual, seat covers and a bunch of spare plastic bits.
Step 7 ) Get a receipt for the bike including extras and the ownership signed. In my case the owner left the bike in his name so I didn't have to pay Michigan State tax (6%). A dealer would charge. He also left his insurance on the bike even though I had my own. I did mention he was a saint.
Step 8 ) Head for the border and watch for the export area. It doesn't jump out at you and you could drive right through into Canada. As someone posted, you just find a place to park against a wall, guardrail etc and walk across numerous lanes of traffic to the office.
It's luck of the draw as to how long it takes. Procedures are slow. I got lucky in that I arrived two minutes before the busload of suspicious tourists not two minutes after. I was out in about 30 minutes.
They basically stamp the paperwork and off you go.
Step 9 ) Canadian Customs
This went fairly quickly as they weren't busy. The first officer looked at the bike and the only interest was the Conformance Sticker and the date on it. You get a piece of paper with that on it and you go inside. They fill out Form 1 Vehicle Import and relieve you of 5% GST on the purchase price. I had the receipt plus copies of the sales ad.
OVERHEARD AT COUNTER
Someone at the next wicket asked about the US Export rule and the customs officer said "That's an American Law and we don't enforce it. HOWEVER if the bike ever goes back to the USA you could have serious problems." Don't ask me. That's what I heard.
Snag # 1 The form is filled out in longhand and the "7" in my address later got read as a "1" so my RIV paperwork was late in getting to me. People can make mistakes so it doesn't hurt to check things before you leave especially the VIN #. It is much harder to correct later.
Then you go to another counter and another person fills out the RIV paperwork and relives you of about $200.00. Credit cards work OK for both.
Step 10 ) Off you go home with the bike to wait for the R.I.V document to arrive by mail, typically 10 days. When I called after 10 days to ask where they were they faxed me a copy instead. When I looked at the cover sheet I saw my address as #1 not #7 so my original is somewhere in postalland.
Step 11 )Next off to canadian Tire where I was first told by a grumpy guy that they didn't do off site inspections even though the bike was only a mile away. That would have meant renting the trailer again etc. This bugged me so I went again when there was a friendly looking young lady at the counter and she said to come back early in the morning when things were slow and one of the techs could go to my shop with me. Next morning the RIV inspection was done. All he did was take the info off the, guess what, Compliance Sticker and check that the headlight came on with the ignition. Canadian Tire faxed the paperwork to RIV and then it's wait for the RIV sticker to arrive.
This morning the RIV sticker arrived ( I had called them to correct the address and they were very friendly and helpful.) It goes on the bike near or over the Compliance Sticker.
Al I needed was a safety and a mechanic friend stepped in to help. He brought his last inspection form and the bike passed.
SNAG #2
When he filled out the form he mixed two of the letters in the VIN # and the form was scrap. MOT will not accept any altered VIN number on the form.
Step 12 ) I registered the bike as unfit until he gets a new book of forms next week. All MOT wanted was the original ownership and a receipt plus my drivers licence for ID. They didn't ask for the RIV or recall letter. Five minutes at the counter and it's Canadian. Unplated but with all this snow it doesn't matter anyway.
Summary
1 ) Make Deal
2 ) Check for Complance Sticker
3 ) Advise US Export and keep fax confirmation slip
4 ) Get bike
5 ) Get receipt
6 ) Stop at US Export, show ownership and receipt, get stamped
7 ) Stop at Canadian Customs and do form 1
8 ) Do RIV paperwork at Canadian Customs
9 ) Check all numbers before you leave
10 ) Upon getting your RIV form see Can Tire re inspection
11 ) Upon or while waiting for RIV sticker get a safety
12 ) Take old ownership and receipt to MOT for transfer to an Ontario ownership. Have a safety and insurance if you want it plated.
Paperwork list
Passport for US entry....needed
Funds to pay for bike.....needed
Compliance Sticker....... needed
Ownership.................. needed
Trailer rental agreement needed
Receipt...................... needed
Recall Letter................nobody asked for it. 98 wings didn't have recalls so??
Form 1 .......................supplied and filled out at border
RIV application ............supplied and filled out at border
Insurance....................a really good idea for bringing it back + needed here
Safety........................needed for the street
People ratings
US Customs going in, the usual but 4 stars anyway
US Export, 3 1/2 stars. The people were good but the system is slow
The seller as I mentioned was a saint
Canadian Customs, 4 1/2 stars
R.I.V. 4 1/2 stars
Canadian Tire, one no star and one 5 star
MOT 4 1/2 stars
Hog Haulers, Five Stars
I brought the bike in on January 11th and registered it just under 4 weeks later. If it was summer it I would not be smiling. This isn't something that happens fast.
Would I do it again? In a heartbeat.
5% GST at the customs office when you cross over, and 7% PST when you register it in Ontario at the licensing office.
If you buy a bike for transport you dont pay the state taxes although I've heard some states charge but I dont know. I bought in Ohio and never paid sales tax.
You dont pay duty on any of those 4 makes of motorcycles. They are made in Japan but they are assembled in the usa at local dealerships and are NOT subject to any duty.
If I bought a bike from a dealer in Michigan it is my understanding that I would get hit with the state tax. My bike was a private sale. Each state is different and some cities have their own taxes as well.
Ontario PST is 8% paid when you transfer the ownership.
I wasn't aware of all of the four major Japanese makers having their full lines assembled in the USA. I was bringing in a Goldwing, made in Ohio for decades so taxes only. The duty might apply to other models. Check it out by year and model.
I had the original ownership in the sellers name. If I had tansfered it in Michigan I would have had to pay the MI tax. Personally, I don't like people having my name on stuff I no longer own. It's a liability issue but he was good enough to do it and it saved me about $500.00 and some time. He printed and signed a receipt for the actual sale price and noted that it included the extra seats etc.
So If I buy purchase a brand new bike from a dealer in Michigan or OHIO, I will have to pay the state tax but not the duty!
Is that correct?
Your a lot better off just contacting the US customs office to find somebody to answer your question. I already told you that I purchased a new bike from a dealership in Ohio and I DID NOT PAY ANY STATE TAXES.
I am still confused about the State Tax. Some people are saying that you have to pay the tax and others are still saying no you don't have to since the bike will be imported to Canada!
Which is it?
And as far as duty goes
If the vehicle VIN# starts with a number then you are exempted from the duty but if it starts with a letter then you must pay up!
soo when you buy the bike from the dealer. Is the ownership transfered to my name or can that be done back in Toronto to avoid the state tax?