Import a BMW from the US and expect to shop around for modification quotes

Submitted by a UCanImport Subscriber who imported a BMW vehicle from the US:

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Submitted by a UCanImport Subscriber:

In Calgary the dealership has taken an aggressive approach to imported vehicles. If you call to book a service appt for a CDN vehicle, it’s a week to get in.

For US vehicles they’re making you wait 90 days!!! Kelowna BMW charged me $1350 for the cluster and programming installed (still a cash grab), but the Calgary dealership charges $2200 for the cluster installed and $400 for the DRL programming. Edmonton was similar in price.

I drove out and got the work done in Kelowna. I’d be super happy if they hadn’t put the wrong cluster in!!!

The 335, because of the bi-turbos, has an oil temp gauge in the cluster, all lower models have a fuel economy gauge in that spot. Guess which one they put in mine? Then they argued that it was the right one. I walked them over to a Canadian 335 sitting on their showroom floor and showed them the oil temp gauge. Apparently that wasn’t enough as I’m still fighting with them about it.

Anyway, I got my clearance letter and I just finished my import work this week. It was a pain. I like the car, but am pissed off at BMW Canada, and all the brands that are doing the same thing.

How do they think this will create good long term relationships with these possible new customers? Surely long term either the dollar will drop back, or the prices will realign. This short sighted cash grab protectionism will only hurt their image, customer relations, and in the end, bottom line.

Everyone who has asked me for help, I’ve directed towards brands that are treating importers fairly.

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UCanImport says:

Thank you for sharing your story. What we find interesting is that BMW Canada refuses to acknowledge any modification work completed in the US stating that they must verify it themselves through a Canadian dealership - as they cannot vouch for the quality of workmanship of their colleagues in the south.

We agree the pricing practices are unfair and illogical, especially since they were implemented unilaterally at the sole discretion of BMW Canada. The issue here is why Transport Canada would allow these practices to continue. If the modification work can be completed to meet Canadian Safety Standards, why should BMW dictate where and how they get done.

Here are some of BMW's justifications for their charges. I think if I got a CarFax report and an internal system printout (free) from the US dealership, I would be achieving the same thing as Mr. Caton describes below. The other point is that the word "service" is used incorrectly. It should only apply to something I have requested or something given to me at no charge; to dictate the charges within a monopoly seems unfair.

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Dear [importer],

I am in receipt of your email and offer this reply.

In your letter you reference the recall clearance letter and our $500 charge for it. You also state one of our staff suggested it provides some protection, please let me explain.

The $500.00 really covers the cost of providing a service for you which results in you getting the letter you require. Once we get the Retailer’s request for your letter we check both the US data base (which is not part of our regular warranty system) and the Car Fax system to view the warranty status and see if there are any outstanding recalls, (we are presently developing a system where we can notify the new owners in Canada of any future recalls as at present those notices would only be sent to the original owner in the US). We then enter your information and the vehicle’s into our system so our data base is up to date. From there we prepare the letter which goes to two officers of our company for signing. Once done it goes back to the Retailer for distribution to you. Before the letter was even requested from us your dealership inspected the vin plates on your car, entered the information into their system and consulted with you.

As you can appreciate this all costs money and because of the large volume of BMWs coming into Canada we have had to hire additional staff to administer it and therefore there is a charge.

In terms of the protection this all provides. Not everyone thinks to get a Car Fax (you were smart) so we get it for you and we check our US warranty system. Once done we can tell you the status of your warranty, now you may have already bought the car, but you will at least know then if its been in a bad accident, sold for salvage, been a flood car and whether the warranty is in force or not. Also, as I mentioned above we are developing a system to notify you of future recalls which could help keep us all safe.

We are sorry you are disappointed with our process and charges however, I am sure you are also in business and understand there are costs associated with providing services and while those costs could always be debated, we feel the fees we charge are reasonable based on our experience.

We hope you enjoy your car,

Best Regards,

Bruce Caton

National Manager, Pre-Owned

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Comments welcome.

Importing a Car from California - State Tax Exemption Availibility

If you are importing a car from the U.S., there are a number of money-saving avenues you can take advantage of. In addition to the better exchange rates and lower pricing available in the U.S., there are tax saving advantages for importers as well.

If you are importing a car from California, understand that you will have to pay the State Tax on your purchase, unless the vehicle is delivered to you out of the state. If you plan to drive your car off the lot in California, you will have to pay the tax.

According to the California Board of Equalization, if you are importing a car, the "purchaser is not required to pay California use tax if the only use of the property purchased in California is to remove it from the state and it will be used solely thereafter outside this state. No other use can be made of the property."

The California Board of Equalization must receive a completed Statement Of Delivery Outside California form http://www.boe.ca.gov/pdf/boe448.pdf

If importing a car from California verify this information with the seller and save yourself the State Tax.

Importing a Car from Florida - State Tax Exemption Possibility

If you are importing a car from Florida, you may qualify for an exemption from the State Tax of 6% if the seller delivers the car to you outside of the State.

Importing a car from the U.S. has many steps and there are a number of ways that you can avoid costly mistakes. One way is to confirm with the seller of the vehicle that the car you are importing from the U.S. can be collected without paying the State Tax. In States such as California and Florida if you are importing a car you will have to pay the State tax unless the car is delivered to you outside of the State.

For information on the Florida regulations and exemptions, see http://dor.myflorida.com/dor/taxes/vehicle_sut.html

Buying a Vehicle or Vessel from a private seller in Florida

If you are purchasing a Motor Vehicle, Mobile Home, Off-Highway Vehicle or Vessel from a private seller in Florida, you will need to complete this Notice of Sale and/or Bill of Sale for submission to Florida DMV.

For a listing of office locations click: http://www.flhsmv.gov/offices/

Possible Tax Exemption for California Motorcoach and RV Purchasers

State of California, Board of Equalization will allow purchasers of a new or remanufactured truck, truck tractor, trailer, or semitrailer, with an unladen weight of 6,000 pounds or more, or a trailer coach or auxiliary dolly, purchased from a dealer located outside California for use outside
California, and delivered in California by the manufacturer or remanufacturer to a purchaser who is not a resident of California.

Please confirm if your purchase qualifies for such an exemption by contacting the seller.

To view the application form for this exemption click: http://www.boe.ca.gov/pdf/boe837.pdf

Note, California Coach Company listed on http://www.ucanimport.com/USA_Car_Dealers.aspx?t=rvs
offers this service to its purchasers.

State Tax Exemption on Vehicles Imported from Arizona, USA

The Arizona Department of Revenue offers the following information to exempt Canadians from the State Tax when purchasing a motor vehicle:

Out-of-State Deliveries:
Sales of Motor Vehicles to Nonresidents for Use Outside of Arizona

The Department’s Arizona Transaction Privilege Tax Ruling TPR 03-1 remains in effect and governs sales of motor vehicles to nonresidents when the motor vehicle dealer delivers the motor vehicle to the nonresident outside of Arizona. As required by this ruling, an Arizona Form 5010 must be completed by the nonresident purchaser and the motor vehicle dealer. Additionally, a 90-Day Nonresident Registration Permit must be obtained, including the completion of a nonresident purchaser affidavit.

More details on http://www.revenue.state.az.us/TpT/Motorvehiclesale/mvtaxrate.htm

Jaguar and Land Rover Vehicles Imported from the US require Admissibility and Recall Completion Letters

From the RIV website:

If you are importing a 1992-2008 Jaguar or a 2008 Land Rover you must contact an authorized Jaguar Canada dealership to determine the exact nature and costs of all modifications.

All modifications MUST be performed by an authorized Jaguar Canada dealership. When required modifications and any outstanding recalls have been completed, your local Jaguar dealer will provide you with an official Jaguar Canada vehicle admissibility and recall completion letter.

RIV fails to state if this is also the case with 2007 and earlier models for Land Rover, but we believe that the same rules will apply the moment RIV notices this oversight.

To locate a dealer go to: http://www.jaguar.ca/ca/en/jaguar_ownership/locate_dealer/Locate_A_Dealer.htm