The purchase of a used trailer for your business isn’t finalized with a handshake, but rather at the counter of the Société de l’assurance automobile du Québec (SAAQ). For a carrier, this administrative step is much more than a formality; it’s a matter of compliance, costs, and asset activation.
The process can be simple or become a headache, especially when it comes to taxes and inspections. Here’s what you absolutely need to know before finalizing your transaction.
The question of taxes: the QST issue
This is often the most sensitive point. How is the QST collected on a used trailer?
- Purchasing from a dealership (like Gamache Truck Center): This is the simplest scenario. The dealership acts as a collection agent. They charge you the GST and QST, just as they would for a new purchase. You receive a detailed invoice that you give to your accountant to claim your input tax refunds. The transaction is transparent.
- Purchasing from an individual or an unregistered business: This is where you need to be careful. The seller won’t charge you any taxes. However, when you register the trailer with the SAAQ (Quebec Automobile Insurance Corporation), you will have to pay the QST (9.975%). The SAAQ will collect it based on the higher of two amounts: the sale price indicated on the contract or the trailer’s appraised value according to its records.
This expense must be included in your purchase budget.
Transferring ownership of the trailer: essential documents
For the SAAQ to accept the transfer, you can’t arrive empty-handed. You will need:
- The sales contract (or invoice): It must be detailed and include the seller’s name, your name (or your company’s name), the sale price, the date, and a complete description of the trailer, including its vehicle identification number (VIN).
- The old registration certificate: The seller must give you the original registration certificate, signed on the back.
- A power of attorney (if necessary): If you are buying from a business, make sure the person signing the contract and endorsement has the authority to do so. If the owner cannot be present at the SAAQ, a formal power of attorney will be required.
Inspection and the PEP program
This is the most important compliance point for a heavy vehicle. A commercial trailer is not like a recreational trailer. It is subject to the Preventive Maintenance Program (PMP).
Before the SAAQ issues your license plate, it will verify that the trailer has a valid inspection sticker.
If you buy a used trailer from a private individual whose sticker has expired, the SAAQ will require a new, complete mechanical inspection by an authorized agent before allowing you to leave with your registration. This is a significant potential cost and delay that should never be overlooked during negotiations.
Buy Peace of Mind
Navigating SAAQ requirements is part of the job. However, buying from a reputable dealer like Centre du Camion Gamache radically simplifies this process. The trailers we sell have already undergone inspections. We ensure that the documents are compliant and the inspection is up-to-date, transforming an administrative chore into a simple formality.
To find a trailer that’s ready to hit the road in full compliance, we invite you to consult our inventory of used trailers. For specific questions about the registration process for a particular model, contact one of our experts directly at Gamache Truck Center.
