[TwinPowerF30]

If i trade a car in say it's worth $10,000. I will save on the GST+PST so 12% would make that $1200. So it is actually the equivalent of a private sale for $11200 correct? If i am leasing the new car, where would I actually see that 12% savings or the $1200? Is it on the monthly payment or how is it calculated? I just want to be prepared when I see it on paper. Even with a trade in, the remaining balance is still subject to the extra 3% on the PST(total 10%) as luxury tax right?

[fastrack]

Let say your new car is worth $50 000 and they gave you $10 000 for your trade in, u pay tax on $40 000. I think that's how it works.

[oel]

i THINK with lease, you don't save any tax with a trade in.
That's what I was told.

[benyl]

Originally Posted by 03_|

i THINK with lease, you don't save any tax with a trade in.
That's what I was told.

Yes you do. At least that is what happened when I traded in a car on a lease. It lowered my tax on my monthly payment to less than the current rate of GST.