There is GST when purchased through a dealer as they are in the business of
selling cars. If you trade a car that has been claimed through your
business, you have to pay GST out of your trade price even if the car was
purchased prior to the introduction of GST. I have seen a couple of people
stung for this one.

When you buy privately, unless the person selling it is registered for GST
and is selling a business vehicle, their price should not include GST. There
are also a whole lot of rules trying to claim GST if you borrow money to buy
a business vehicle.

Little Johnny doesn't miss out on much.

Cheers

Eric




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