[HoldenTudiks]

According to https://www.canada.ca/en/revenue-age...-vehicles.html. Vehicles with a fuel rating of at least 14 litres but less than 15 litres per 100 kilometres are charges with 2000 CAD. That is what my dealer is charging me. However, the 2025 figures for car fuel rating arent out yet for the M5. And with the hybrid system, wouldnt the fuel rating be lower than 14L/km?

[Irish7111]

Typically excise tax is paid by the importer of a vehicle. It is not an end user tax. So logically I would think that the MSRP of the vehicle would take that into consideration. I think the amount is right but I think this is paid by the importer, BMW Canada, and if the dealership is asking you to pay this I think they are just inflating your price. But I'm not tax expert.

[Crazy1323]

Originally Posted by Irish7111

Typically excise tax is paid by the importer of a vehicle. It is not an end user tax. So logically I would think that the MSRP of the vehicle would take that into consideration. I think the amount is right but I think this is paid by the importer, BMW Canada, and if the dealership is asking you to pay this I think they are just inflating your price. But I'm not tax expert.

I am in the US, but have some experience with Canada taxes.

When the importer has an agreement to sell to a registered vendor, that import can be exempt from the tax at the time of import. This allows a vendor to hold the inventory “tax-free” and then the tax is collected when the vehicle is sold to an end-user.

Paying the tax at the time of import is typically done when the importer isn’t registered for the tax. For example, this is meant to apply if someone living in Canada were to drive to the US, purchase a car for themselves, and drive it back to Canada.