An exemption allowing used-vehicle buyers to avoid paying provincial sales tax in Saskatchewan is being lifted.
The province’s 2018-19 budget shows the PST exemption on used light vehicles will be removed, starting Wednesday.
The move puts taxation on used vehicles in Saskatchewan on the same page as other provinces with sales taxes, according to the province.
Exceptions will be made for used vehicles sold privately and purchased for less than $5,000 and for used vehicles gifted between family members, the province states. A trade-in allowance, which allows the value of a trade-in vehicle to be deducted from the PST calculation, will also be reinstated.
The budget also shows PST exemptions will be discontinued on Energy Star appliances.
The exemptions on the appliances have existed, in some form, since 2003, but the province states the cost savings from purchasing Energy Star appliances already proves to be a strong incentive for consumers to buy the products.
