Burial Plot

[SkyRider]

Anybody here purchased or thought about purchasing or know someone who purchased a burial plot from a private seller? I see quite a few plots advertised on Kijiji.

Question: Is the 13% HST and/or any other tax(es) applicable to the private sale?

(Please, serious replies only. Thank you.)

 

[canman1]

Before you purchase ensure that the seller can actually make a private sale, and you get the actual deed. Some places only allow, that you sell the plot back to them, and a private sale would be void. Easy to check, just contact the management of the place. If they paid taxes they can include it in the price. But not as separate item unless they have a license to collect, and remit.

 

[SkyRider]

Some places only allow, that you sell the plot back to them, and a private sale would be void.

Yes, we checked with the cemetery and they confirmed that a private sale will be respected and they will handle the transfer for a small fee. However, they would not provide tax advice on a private sale but did confirm that a direct sale by them would be subject to HST.

I did a bit of a search on the CRA website but they didn't cover (unless I missed it) re-sale from one private party to another private party.

 

[SchlongConery]

Unless the seller is a HST Registrant, there is no HST applicable.

Generally speaking, if one does not sell more than $30,000 in a year, then they do not have to register for HST.

Here is some more info on HST Registration.

http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/rgstrng/menu-eng.html

 

[SkyRider]

Anybody looking for a plot should consider buying from a private seller. Firstly, you can probably negotiate a better price and secondly you may be able to avoid the 13% HST.