GST & insurance queries

[bananarepublic]

I was quoted $6k for a s4 spec II by a bike shop. On top of that there's also insurance, road tax, transfer fees and $420 GST. I thought it was reasonable but later at night when I recalculated everything, I realized that the $420 is 7% GST for $6k. I thought 2nd hand goods cannot be charged full GST leh? What should I do man? Should I ask the shop about this when I collect the bike? I cannot back out of this deal man, if not must pay penalty. Haiya how?

 

Another thing is that for my previous bike that I trade in for this s4, I renewed insurance last October. Do I get the balance for the insurance or will the shop take?

[xiaobanz]

I think the GST part is quite crap. GST has been paid when the previous owner purchase the bike. It's better you go and nego with the shop and ask why got GST. GST is only applicable with new bikes.

 

You have to go back to your insurer and they will refund for you. I forgot the calculation le.

[bananarepublic]

I think the GST part is quite crap. GST has been paid when the previous owner purchase the bike. It's better you go and nego with the shop and ask why got GST. GST is only applicable with new bikes.

 

You have to go back to your insurer and they will refund for you. I forgot the calculation le.

 

ok so like that by right i shouldn't have to pay for GST right? i read on IRAS website that they can only charge 50% GST and even then, must minus the COE price and all.

 

then right, the bike shop took my insurance slip leh and say that they will change to a different insurance company. so is it confirm i can get a refund or do u think the shop will take it?

[xiaobanz]

This one cannot confirm with you. You have to go back and nego with the shop and see how. Then also must show them some prove. If worst come to worst, threaten to go down to case and talk.

[bananarepublic]

wah ok now bike shop tell me they buy my bike together with insurance, so i dont get the insurance balance. wtf man tt day when i come they never say.

[Arcfire]

wah ok now bike shop tell me they buy my bike together with insurance, so i dont get the insurance balance. wtf man tt day when i come they never say.

 

Now that is something i've never heard of.... Since when do shops buy in bikes together with the remaining insurance one? I would suggest you go back and review the terms of your contract. If never state that the trade-in includes your current insurance, give them hell.

 

Again, as for the GST thing, if better if you can call up some govt body to double check, then again give them hell if they are wrong.

[0re0]

Just call up the insurance company directly and tell them you want to cancel the insurance.

 

Even if they bike shop were to cancel the policy for you, the refund cheque will be addressed to you

[bananarepublic]

Just call up the insurance company directly and tell them you want to cancel the insurance.

 

Even if they bike shop were to cancel the policy for you, the refund cheque will be addressed to you

 

is that right? because i'll have to go down to the bikeshop this sat so i am hoping that they have not cancelled my insurance yet because my current bike is still with me. ok i will call up the insurance co tomorrow and ask them about it.

 

i'm just very pissed at this entire situation because i read good reviews about tt bike shop and this is clearly a very underhanded measure on their part. i mean, what kind of nonsense is "we buy your bike together with your insurance"?

[bananarepublic]

Now that is something i've never heard of.... Since when do shops buy in bikes together with the remaining insurance one? I would suggest you go back and review the terms of your contract. If never state that the trade-in includes your current insurance, give them hell.

 

Again, as for the GST thing, if better if you can call up some govt body to double check, then again give them hell if they are wrong.

 

i have signed some papers and the shop said tt if i back out on the deal, i will have to pay $1.5k so that worries me a lot. i'm very pissed off!!

[Arcfire]

Bro, read the terms and conditions of the contract that you have signed. It will give you a clearer understanding of what you can and cannot do.

[0re0]

the insurance follow the rider not the bike leh... or rather, it doesn't "follow" any one cos once the bike is sold that's it.

 

new rider for old bike and the same rider for new bike is a totally different risk altogether

[xiaobanz]

Humans are like that, once got new things confrim happy and will not check somethings. That's what happened to me, so when i sign something i will read everything including the small words.

[Reese]

fine prints are never a good clause for the intended person signing it

& good ppl dun write fine prints

[bananarepublic]

fine prints are never a good clause for the intended person signing it

& good ppl dun write fine prints

 

i completely agree with you. if you are doing an honest deal, there shouldn't be fine prints. this entire insurance issue wasn't even mentioned when he calculated everything for me. he just said that i'll be insured under a diff company, never said anything about buying my bike together with my insurance or about taking my insurance balance. unfortunately i can only come down to the shop this weekend so i hope that this can be solved man.

[contrarian]

i read on IRAS website that they can only charge 50% GST and even then, must minus the COE price and all.

 

There is a way to account for/charge GST on second hand vehicles. You seem to have read the IRAS paper on GST for second hand vehicle dealers, and understood how it works. That paper should answer your question.

 

If you believe that GST is improperly accounted for, you can always revisit the matter with the dealer, or call up the GST department.