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How much tax can my trade-in save?

See what your trade-in or accommodation sale saves in tax. You can also add or remove tax on a new vehicle.

Province where the purchase is taxed
The agreed trade-in or accommodation amount, before paying off any loan.
Include taxable dealer fees. This is the vehicle you are buying next.

For your personal vehicle toward a new vehicle from a dealer. No tax collected by you. Business vehicles, used replacements and leases need a separate calculation.

Enter the required amounts to see your result.

See the calculation
Quebec example · $40,000 new vehicle · no fees or loan payout
Your offer$15,000
Tax saved$2,246.25
Value with tax savings$17,246.25

A quick example

Your eligible offer reduces the amount taxed on the new vehicle. The saving lowers your bill; it is not extra cash paid to you.

A few useful details

For your personal vehicle toward a new vehicle from a dealer. No tax collected by you. Business vehicles, used replacements and leases need a separate calculation. Accommodation: you find a buyer, and your new-vehicle dealer handles the sale as an eligible trade-in. Dealer approval is required. A separate private sale alone does not save tax on your next vehicle.

QC: base × 5% + base × 9.975%. ON: base × 13%. Reverse standard tax: total ÷ 1.14975 (QC) or total ÷ 1.13 (ON), subject to cent rounding. Tax saving = tax on full new-vehicle price − tax after eligible credit. Offer plus tax value = credit + tax saving.

Official sources

CRA · GST/HST · Revenu Québec · TPS/TVQ · OMVIC · Trade-in and HST · Revenu Québec · Understanding accommodation sales

Rules checked October 22, 2026.

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