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 Replies: 11 / Views: 1,956 |
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Pillar of the Community
Canada
1118 Posts |
In doing my pre-auction research I discovered that you only have to pay a 15% premium as opposed to the 20% if you bid online.
I also noticed that if a lot is delivered in Canada you pay your province's G.S.T. (H.S.T. where I live).
So I have a question. If I was to go to the auction and buy it in Ontario do I pay their 13% or my 15%?
What I would ideally like to do is have an acquaintance take my money to the auction to bid on the 3 or so odd lots I want. Then I would only have to worry about the 15%.
As for provincial tax if I did win any of my lots I live 5 minutes away from Houlton, Maine. Could I then have my bidder send the lots to there?
If I did it the standard way I am looking at an extra 35 cents on the dollar. If I can shave 20 cents off that I would be thrilled.
Now for the part that may make me feel bad. All these extra fees, where do they go to? I do not want to steal from the Bells. Is what I am thinking about doing negatively effecting the Bells' auction? I just want to save money, not steal.
I hope none of you are laughing too hard.
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Pillar of the Community
Canada
5238 Posts |
Theoretically at least, even if the stuff ends up in Maine before it gets to you, my understanding of the HST is that you are supposed to pay it, just like you are supposed to pay HST for any goods sent from the US to Canada (outside of the duty-free allowance). In practice small packages seem to slip through the post office without attracting the taxes. Whether you should or should not do this is not a subject I will comment on.
As for the auction, I see nothing wrong with having a friend bid for you at the auction to avoid the extra 5%. I presume that the extra 5% for on-line reflects their higher cost for on-line auctions. Bidding on auctions with an agent has been the norm for ages. I doesn't cost Bell any more if your agent bids.
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Pillar of the Community
 Canada
1118 Posts |
Ok, I will start looking for an agent (any volunteers?)
As for paying to get something into the country I always answer honestly when I bring stuff back but I never seem to get taxed.
I would probably bid on 7-8 lots but not knowing what I would win and all the fees will add up quick.
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Pillar of the Community
 Canada
5391 Posts |
Coin auction agents do not work for free. Sit back relax bid online and make sure to pay all fees and taxes. The extra charged online is a fee they have to pay I Collector or whom ever.
Taxes are the amounts we all pay to live in a great country. It is called being a good citizen.
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Valued Member
Canada
257 Posts |
Usually the 5% online increase comes from the Online vendor's proprietary auction software, which the Auction house has to pay to use.
You would think this is offset by the increased hammer price from many more online bidders, but who knows :)
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Pillar of the Community
Canada
3690 Posts |
If your bidder buys (point of sale) in Ontario, and the item is taxable, he/she will pay 13% HST. If he/she then sends the items to Maine, and you go get them to import to NB, you potentially would be subject to another 15% HST at the border if the CBSA decide to do the paperwork. You could try to explain that the goods were already purchased in Ontario and taxes paid etc, but a couple of things could arise. Firstly, they might question why you sent them to Houlton and secondly, they might also deem that there was a second sale between your bidder and you and thus assess HST at 15% on import. You would get into proving an agency or representative agreement with your bidder. I'm of course assuming that you don't plan to stay in the US for 48 hours to get the $800 allowance.
Seems like a lot of hassle to potentially save 2% and risk paying an additional 15%.
Oriole brings a great point about self assessing for taxes owning on shipments coming from outside of your home province. I'm always surprised when I read on here about people bragging about and/or encouraging tax evasion. Doesn't really seem smart on a public forum even if the likelihood of CRA doing anything about it is slim to none.
Edited by CC-Ottawa
07/15/2016 6:05 pm
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Pillar of the Community
Canada
2845 Posts |
Quote:
So I have a question. If I was to go to the auction and buy it in Ontario do I pay their 13% or my 15%?
You pay your 15% and the tax is charged on the winning bid plus the auction fee. The GST/sales tax in Alberta is only the 5% and so that's what I pay. The significant variance from province to province really doesn't make sense especially in this era of uniform pricing by national and international retail outlets. Overall though, especially for those of us without eligible business deductions and write-offs, it is understandable that it is difficult to proudly pay all that we contribute through various levels of taxation in Canada. |
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Pillar of the Community
Canada
2781 Posts |
I would think that the less taxes paid means higher end prices which would help the Bells, not hurt.
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Pillar of the Community
Canada
535 Posts |
So if I have a tax exempt card/number, am I a bad citizen Pacificoin?
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Pillar of the Community
Canada
5391 Posts |
No you aren't , and either looking for an argument or completely missed the point.
Fact is health care, roads , pensions are not created out of nothing. It is our duty as good citizens to pay what we properly owe, no more and no less.
One thing that is really annoying as a GST/ HST. Registered business is the amount of individuals that try to avoid the taxes on coin purchases. As a dealer I would do that at my peril and certainly do not want the CRA knocking on my door.
Years ago We went through a BC Sales Tax Audit and believe me it was an absolute annoyance for the $9.32 that we eventually had to pay. I prefer to sleep at night thanks.
@Timnic if you have a Tax exempt card you are either a business or a Status Native . No problem with either.
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Pillar of the Community
Canada
2984 Posts |
Since when has the buyers fees up to 20%? It always been 18% at Canadian Numismatic Company and Colonial acres if bidding is online. Mail bids are at 15% buyers fee. For Colonial Acres, the buyers fee is 15% if by cheque or EMT.
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Pillar of the Community
Canada
5391 Posts |
A lot of the major auction houses around the world are at 20 and have been for awhile.
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Replies: 11 / Views: 1,956 |
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Posted 07/15/2016 4:11 pm
