# Assuming a Car Loan - Double HST?



## FrugalTrader (Oct 13, 2008)

Say that I assume a car loan with which the HST is built into the payments. When I register the car under my name, will I need to pay HST again? 

I'm thinking the answer is yes?

Thanks!


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## andrewf (Mar 1, 2010)

Yes, it's terrible. HST should not apply to used cars.


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## CanadianCapitalist (Mar 31, 2009)

The answer is yes. If you are assuming a car loan that includes HST payments, your buying price should reflect that.


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## FrugalTrader (Oct 13, 2008)

What if I assume a lease? Lease payments should not change since the ownership still stays with the dealership/finance company, and I guess HST is paid only once if I were to buy out the car at the end of term?


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## andrewf (Mar 1, 2010)

Yes, transferring a lease does not result in a change of ownership.


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