I will be moving to Canada (from the US) in the next few months and
need to buy a new car. What would be more economical: buying a new car
in the US and taking it with me when I move to Canada, or waiting
until I'm in Canada and making my new car purchase there? I am moving
to BC from Washington, where there is 8.5% sales tax.

---

Clarification of Question by fubsterbuddy-ga on 05 Jan 2006 08:49 PST

Thanks for the comments. I figured this wouldn't be black & white.
Dermeister, here are a couple of clarifications:
I will be moving to Canada permanently. Since I need another vehicle
soon, and I haven't actually relocated yet, I was hoping to apply some
foresight to my new car purchase and - as you put it - try not to get
skinned.
As far as type of vehicle, I'm rather flexible. Most likely will go
for something rating high on the economy & durability indexes, such as
Toyota, Honda, Subaru, Audi, etc. Budget is < $30K CDN.
Finally, my existing market is eastern Washington state, meaning I'd
likely make my purchase in Spokane or perhaps Seattle if not in
Canada. My destination market is Vancouver, BC.
Thanks

Please remember that you would be paying a 7% Federal Sales Tax too
(GST) (Unless the Conservatives win the election and stick to their
promise of immediate releif to 6%)...

Here is a link to tax info on buying a new car in BC:
http://www.rev.gov.bc.ca/ctb/publications/bulletins/sst_042.pdf

Sorry can't help you on the full question.

Welcome to Canada...no guns...lots of tax.

The answer to your question is . . . it depends. 

Some cars are cheaper in the US, some are cheaper in Canada. In order
to accurately answer there is more info necessary: How long will you
be in Canada? Do you plan on bringing your car back to the US or
reselling it locally? What kind of  car are you looking to buy
(European, Japanese, USA, car, truck, SUV etc)? new or used? What was
your budget? Would you be looking to buy a car in the US, import it to
Canada and resell it before leaving and perhaps make some $$$ (or are
you just looking for transportation and don't want to get skinned?)

If that wasn't enough, it depends on the exchange rate, too. From
about 1999 to 2002/3 it would be a hands down, no question, "Canada"!
! ! Now that the USD has dropped relative to the Loonie, the above
mentioned questions come into play.

If you can answer those questions I can tell you where your
best/cheapest market  to be found is.

p.s. where are you currently located/which US market would you be
purchasing your car in?