Private aircraft import

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tommywcom
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Re: Private aircraft import

Post by tommywcom »

I believe the safest way of doing an import is to retain the service of a Transport Canada DMD from the get-go. I know it seems like a conflict of interest, but these individuals do provide private consulting services, and some of them even advertise.

Basically if a DMD is satisfied that a US aircraft is fit to be imported, it's a done deal. I'm not sure if the same DMD would do the actual approval or if it's a different individual. And if the aircraft cannot be imported unless certain things need to be addressed - you'd know that too.
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digits_
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Re: Private aircraft import

Post by digits_ »

Does anyone have a lead on a trustworthy AME to import a private single engine plane in the Vancouver area? Plane is located in Oregon, so it would probably be easiest to import it into Vancouver and then fly it to Manitoba. Or maybe Calgary would be feasible as well.

Does the tax due at import depend on which province you are performing the import in? Or is it GST only initially, and then Pst when you declare it in the province it will be based in?
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Kejidog
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Re: Private aircraft import

Post by Kejidog »

God. Would it be worth the trouble to import a plane at all? It would have to be some smoking deal. Is a plane that is 30-35% more in Canadian dollars more economical than any other Cherokee that may be for sale in here in canada?
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photofly
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Re: Private aircraft import

Post by photofly »

Domestic aircraft are priced in US dollars (explicitly or implicitly) so they’re equally more expensive than they used to be.
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AirFrame
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Re: Private aircraft import

Post by AirFrame »

digits_ wrote: Sat Jul 04, 2020 10:59 am Does anyone have a lead on a trustworthy AME to import a private single engine plane in the Vancouver area? Plane is located in Oregon, so it would probably be easiest to import it into Vancouver and then fly it to Manitoba. Or maybe Calgary would be feasible as well.
I'd recommend Langley Aero Structures at the Langley Airport. They have done numerous imports.
Does the tax due at import depend on which province you are performing the import in? Or is it GST only initially, and then Pst when you declare it in the province it will be based in?
Tax is paid to the CBSA agency at the location of import. PST and GST are collected (or HST, as applicable).
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digits_
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Re: Private aircraft import

Post by digits_ »

AirFrame wrote: Sun Jul 05, 2020 8:52 am
digits_ wrote: Sat Jul 04, 2020 10:59 am Does anyone have a lead on a trustworthy AME to import a private single engine plane in the Vancouver area? Plane is located in Oregon, so it would probably be easiest to import it into Vancouver and then fly it to Manitoba. Or maybe Calgary would be feasible as well.
I'd recommend Langley Aero Structures at the Langley Airport. They have done numerous imports.
Does the tax due at import depend on which province you are performing the import in? Or is it GST only initially, and then Pst when you declare it in the province it will be based in?
Tax is paid to the CBSA agency at the location of import. PST and GST are collected (or HST, as applicable).
Thanks!

Why doesn't everyone import planes into Alberta then, to avoid PST?
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photofly
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Re: Private aircraft import

Post by photofly »

In theory, if you rebase a plane into another province, provincial taxes are due on its value.
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Re: Private aircraft import

Post by digits_ »

photofly wrote: Sun Jul 05, 2020 10:44 am In theory, if you rebase a plane into another province, provincial taxes are due on its value.
So if you import it into BC, do the paperwork in BC, then fly it to your home in Ontario you would end up paying GST + BC PST + Ontario PST? Yikes.
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Re: Private aircraft import

Post by photofly »

Ontario vehicle tax for a plane purchased in Canada is called RST.

I think (but I’m not sure) that if you are a private individual resident in Ontario and you import a plane anywhere in Canada, you pay HST, because *you* live in Ontario. EDIT: yes, that’s correct, per the CRA website:
In most cases, the HST applies at the border to taxable importations of non-commercial goods imported by a resident of a participating province, regardless of the point of entry into Canada or customs clearance.

If you’re moving address into Ontario and you already own the vehicle then no RST is payable. So you could move to Alberta, import the airplane, then move back.

There’s no provincial register of airplanes (unlike cars) so there’s no mechanism for a province to police aircraft taxation.
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ahramin
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Re: Private aircraft import

Post by ahramin »

photofly wrote: Sun Jul 05, 2020 11:09 am Ontario vehicle tax for a plane purchased in Canada is called RST.

I think (but I’m not sure) that if you are a private individual resident in Ontario and you import a plane anywhere in Canada, you pay HST, because *you* live in Ontario. EDIT: yes, that’s correct, per the CRA website:
In most cases, the HST applies at the border to taxable importations of non-commercial goods imported by a resident of a participating province, regardless of the point of entry into Canada or customs clearance.

If you’re moving address into Ontario and you already own the vehicle then no RST is payable. So you could move to Alberta, import the airplane, then move back.

There’s no provincial register of airplanes (unlike cars) so there’s no mechanism for a province to police aircraft taxation.
In actual practice the province looks at the federal aircraft registry to determine if the aircraft is in that province.
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photofly
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Re: Private aircraft import

Post by photofly »

Has anyone from provincial government ever contacted you about an aircraft?
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ahramin
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Re: Private aircraft import

Post by ahramin »

Of course! Any aircraft registered to a British Columbia address will get a letter from the province demanding the PST be paid. How do they collect HST on aircraft purchases in Ontario? Volunteer payments only?
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Cessna 180
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Re: Private aircraft import

Post by Cessna 180 »

You also have the option, though it may not be the most prudent, to keep the plane N registered, pay a trust company a fee to hold the ownership, and then just pay GST/HST upon import. A Canadian AMO (not just a mechanic) can maintain the plane, save for annual inspections. There are plenty of A&P mechanics here that will do the annual for you, or you can make the trip to the US to have it done.

You benefit from a simpler maintenance and modification regime, as well as higher value being N-registered. Licensing from Canada to the US is easy to convert, though it's only required if you fly outside of Canadian Airspace.

It's not nearly as common here, as Canadian licensing and maintenance is as close to FAA standards as they come, but it's likely the most common method of ownership in Europe.
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photofly
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Re: Private aircraft import

Post by photofly »

ahramin wrote: Sun Jul 05, 2020 3:38 pm Of course! Any aircraft registered to a British Columbia address will get a letter from the province demanding the PST be paid. How do they collect HST on aircraft purchases in Ontario? Volunteer payments only?
I know of nobody in Ontario who has been contacted to pay RST on an aircraft.

You also have the option, though it may not be the most prudent, to keep the plane N registered, pay a trust company a fee to hold the ownership, and then just pay GST/HST upon import.
No you don’t. CAR202.42. TC issues fines of up $5000 for every flight, if you get caught.
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RatherBeFlying
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Re: Private aircraft import

Post by RatherBeFlying »

It costs about $700 to register an Alberta corporation + annual report fee. Look up "Alberta Corporate Care".

You may also need a business bank account.

When it comes time to sell, you can sell the corporation, but would then have to set up another one for your new aircraft.
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boeingboy
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Re: Private aircraft import

Post by boeingboy »

AirFrame wrote: Sun Jul 05, 2020 8:52 am
digits_ wrote: Sat Jul 04, 2020 10:59 am Does anyone have a lead on a trustworthy AME to import a private single engine plane in the Vancouver area? Plane is located in Oregon, so it would probably be easiest to import it into Vancouver and then fly it to Manitoba. Or maybe Calgary would be feasible as well.
I'd recommend Langley Aero Structures at the Langley Airport. They have done numerous imports.
Does the tax due at import depend on which province you are performing the import in? Or is it GST only initially, and then Pst when you declare it in the province it will be based in?
Tax is paid to the CBSA agency at the location of import. PST and GST are collected (or HST, as applicable).
And I would say avoid LAS at all costs
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digits_
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Re: Private aircraft import

Post by digits_ »

Since we are being very thorough here, would it be correct to assume importing a plane from Europe should be easier, since they are -in pretty much every aspect of aviation- more strict than the US and even Canada?
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As an AvCanada discussion grows longer:
-the probability of 'entitlement' being mentioned, approaches 1
-one will be accused of using bad airmanship
photofly
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Re: Private aircraft import

Post by photofly »

Importing a plane from the US is very very very very easy. Just pick the right plane.

Europe? I have no idea; but getting a small SEP here isn't going to be cheap, and they usually go in the other direction.
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