John is a resident of Ontario where a 13 percent HST rate is in effect. He is acquiring a new car from a car dealer and is being given a trade-in allowance for his old vehicle. Explain how the HST will apply to John's purchase.

Question

Quizplus · Accepted Answer

The Answer is HST will only be levied on the net cost of the new car. The 13 percent rate will be applied to the cost of the new car, less the trade-in allowance provided.

John Is a Resident of Ontario Where a 13 Percent