Quote Originally Posted by scottgee View Post
I just got an update on CarCostCanada saying that the price of the Mazda 3 I bought on Monday (I have not taken delivery of it yet) has dropped by $100.

The updated price report shows that the Federal Air Condition Excise Tax is no longer applied to the the car.

Anybody know what this is about?

If the report is correct, I'm assuming that since I haven't actually taken possession of the car, and therefore not completed the purchase, I won't have to pay this tax!

Scott
It is the importer or the manufactuer that required to pay the Fed. A/C tax not the consumer, as it is not a retail tax like GST or PST. In practice, the importer (Mazda Canada) recovers the A/C tax from dealer and dealer then recovers from the consumer. Technically, the buyer is not liable tp pay this tax. A class action law suite has been filed last year against Ford Motor Company of Canada, Limited, Chrysler CanadaInc., Honda Canada Inc., Toyota Canada Inc. and Nissan Canada Inc. regarding misrepresenting A/C Tax.