Ontario & Toronto Automobile Dealers Associations

Ontario & Toronto Automobile Dealers Associations

November 16, 2009 18:41 ET

Automobile Dealers Support HST Announcement

MARKHAM, ONTARIO--(Marketwire - Nov. 16, 2009) - Today the Ontario & Toronto Automobile Dealers Associations (OADA & TADA) announced their support for the Ontario Minister of Finance and his decision to level the playing field for private transfers of used vehicles. When implemented on July 1st, 2010, the province will apply the Harmonized Sales Tax (HST) of 13% to all sales of used vehicles. Currently, sales tax is 8% if a vehicle is purchased privately, but 13% if purchased from an automobile dealer. 

"The current situation has been putting automobile dealers at a competitive disadvantage, and the Minister's decision will bring fairness and consistency to the used vehicle marketplace", said Geoff Wilkinson, Executive Director of the OADA. 

Leveling the playing field will discourage a practice known as "curbsiding" which is unauthorized and unregulated businesses selling vehicles masquerading as an individual selling their car, but avoiding consumer protections laws in the process. Curbsiders are unscrupulous individuals who sell cars outside the law, and consumers who buy from a curbsider might find themself with an unreliable and unsafe vehicle. 

"This initiative is a positive move from a consumer protection standpoint, as well. More than 25% of classified ads may be posted by curbsiders. When a consumer buys a vehicle from a private seller there may be little recourse if they discover the vehicle has been misrepresented."", added Wilkinson.

Ronald Loveys, President of the TADA also expressed his support: "We have been lobbying for this change for a long time, and applaud the Minister for listening to our concerns. This is a very positive move for the automobile marketplace and for consumers. We support the Minister and his government on this decision 100%", Loveys said, "it was the right thing to do".

About OADA

The Ontario Automobile Dealer Association is a trade association representing 530 new automobile dealers across Ontario. The primary role of the OADA is advocacy and government relations, working closely with the Ontario Motor Vehicle Industry Council (OMVIC) and various Government Ministries, to ensure that the voice of new automobile dealers is heard and respected. In addition, the OADA provides products and services, either directly or through partnerships to dealers, to increase sales, reduce expenses and improve profitability.

About TADA

SINCE 1908, TADA serves over 340 new car dealers in the Greater Toronto Area and represents every manufacturer's brand and franchise. The Association's purpose is to foster a positive image for the retail auto industry and to provide information services to its members on current government, manufacturer, and consumer issues.

TADA has a long history of progressive and innovative work, in co-operation with government and their members, to establish fair and uniform business practices, standards of advertising and training, and pro-active programs to enhance customer service. TADA members lend support to a variety of community and charitable projects. Each year in February the TADA presents the Canadian International Auto Show.

Contact Information

  • Ontario & Toronto Automobile Dealers Associations
    Ian Bacque
    Director of Government Relations
    Cell: 416-346-4117