Road-Building Machines Reclassified as Commercial Motor Vehicles

Tax application changes as of July 1, 2017

Effective July 1, 2017 certain Road-Building Machines will be reclassified as Commercial Motor Vehicles and will require licensing and registration under the Highway Traffic Act. Please visit the MTO website for more information, including details about the types of vehicles that will be reclassified.

Application of Retail Sales Tax (RST) and Harmonized Sales Tax (HST)

Vehicles acquired before July 1, 2017

If a vehicle is acquired before July 1, 2017, tax (RST or 8% Ontario portion of the HST) will not be collected by ServiceOntario if the purchaser provides:

  • a copy of the bill of sale containing all of the following information:
    • a purchase date before July 1, 2017
    • the vehicle information
    • purchaser’s name
    • seller's name
    • the province or state where the vehicle was purchased, and/or
  • an affidavit containing any missing information outlined above or, if the purchaser no longer has the bill of sale, all of the above stated information.

It is the purchaser’s responsibility to ensure that any applicable tax (i.e., RST or 8% Ontario portion of the HST) is paid or self‑assessed. Please contact the Canada Revenue Agency (CRA) at 1‑800‑959‑8287 for questions regarding GST/HST.

Vehicles acquired on or after July 1, 2017

If a vehicle is purchased on or after July 1, 2017, the 13% RST or the 8% Ontario portion of the HST may be collected by ServiceOntario, if applicable, under the same conditions as other Commercial Motor Vehicles that require registration.

The following table outlines how the tax will be collected at the time of the vehicle registration.

Location of purchase Seller is a GST/HST registrant Seller is not a GST/HST registrant
Ontario
New Brunswick
Nova Scotia
Newfoundland and Labrador
Prince Edward Island
Tax will not be collected by ServiceOntario at the time of the vehicle registration if the vehicle owner provides a bill of sale with the seller’s GST/HST number. 13% RST will be collected by ServiceOntario at the time of the vehicle registration unless an exemption applies.
British Columbia
Alberta
Saskatchewan
Manitoba
Quebec
The 8% Ontario portion of the HST will be collected by ServiceOntario at the time of the vehicle registration unless an exemption applies.
Outside Canada *The 8% Ontario portion of the HST will be collected by ServiceOntario at the time of the vehicle registration unless an exemption applies.

*If the Canada Border Services Agency collects 13% HST, no tax will be collected at the time of the vehicle registration.

Please refer to Specified Vehicles or the Canada Revenue Agency webpage GST/HST and motor vehicles for more information.

Fuel Tax and Gasoline Tax

On or after July 1, 2017, owners of vehicles reclassified as Commercial Motor Vehicles will not be permitted to use (tax free) coloured fuel or be eligible for a refund of tax paid on gasoline used on or after that date.

For more information

Telephone: 1‑866‑ONT‑TAXS (1‑866‑668‑8297)
Teletypewriter (TTY) 1‑800‑263‑7776

Requests for written interpretations

To obtain a written interpretation on a specific situation, please send your request in writing to:

Ministry of Finance
Advisory Services
33 King Street West, 3rd Floor
Oshawa ON L1H 8H5

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