Tax on importation of select luxury items comes into effect on September 1st

The Government of Canada is implementing a Select Luxury Items Tax on the importation of certain vehicles and aircraft valued above $100,000 and certain vessels valued above $250,000.

The luxury tax comes into effect on September 1, 2022.

A vehicle, aircraft or vessel falls within the scope of the luxury tax regime if it meets the definition of a subject vehicle, subject aircraft or a subject vessel, as set out in the Select Luxury Items Tax Act.

Vehicles, aircraft or vessels that do not meet these definitions are not subject to the luxury tax.

For more information see: Memorandum D18-4-1 Select luxury items tax on importation