Nope! (archive)
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Posted by Mahler on April 16, 2000 at 23:04:25:
In Reply to: Canadian Tax Part 2. posted by Kit on April 16, 2000 at 21:42:17:
(posted from: modemcable022.108-201-24.mtl.mc.videotron.net (24.201.108.22))
..whether you buy the car in Canada or elsewhere, you'll pay all taxes.. unfortunately, it's impossible to get a car through the customs without paying for taxes and other fees. Besides, if it were possible to save a few thousand bucks by buying a car in the US instead of Canada, many people would buy in the states.. in a simple macroeconomics book, you'll read that as a consequence, supply of american bimmers will go down, and the demand for these cars will increase (which would consequently increase the price of US cars); on the other side of the border, supply of Can cars increases, and demand goes down.. lowering the price. PUNCH LINE: if we had perfectly mobile capital such as cars, the prices would adjust until both prices are equal, until US cars are no longer cheaper. That is called the law of one price.. Canadian laws make the prices equal by adding taxes, eliminating opportunity for arbritrage of cars.Fair enough?!
Considering the taxes, american and canadian cars are sold for roughly the same price..
As far as I know, the only way of saving on a new BMW is to negociate tight, or to pick up the car directly in Germany (Euro Delivery).
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