The correct answer is 12 percent for bc
Between private parties. You have to volunteer to remit. Of course no one will volunteer to remit. Very small companies don't have to collect the tax but they will report equipment sale on taxes and govt could audit that. Or small company may not collect right away not knowing they have to.
Government response:
Yes, the sale of used cars, trucks, commercial vehicles and industrial equipment (e.g. a backhoe/ skid steer) is subject to British Columbia’s (BC’s) provincial sales tax (PST), unless an exemption applies.
You must pay PST, regardless of whether the vehicle is for personal or business use, even if you are registered for PST. The rate of PST you must pay varies, depending on the type of vehicle and how it is acquired.
We can confirm that if you purchase a vehicle at a private sale in BC (i.e. the seller is not a GST registrant), you must pay PST at the rate of 12% on the purchase price of the vehicle, unless a specific exemption applies. In this scenario, you will pay the 12% PST to ICBC if the skid steer is registered, or you must self-assess the PST using a
FIN 405 - Casual Remittance Return.
For additional information, please see
Bulletin PST 308, PST on Vehicles.
More information on British Columbia’s PST, including registration, and collecting and remitting the PST, can be found in a series of
PST Bulletins and Notices, and the
Small Business Guide to PST. Our
Forms Page contains exemptions certificates and forms related to registration, applying for a refund, and self-assessing the PST.