The City of Toronto has announced that effective April 1st, 2016, Municipal Land Transfer Tax (MLTT) transactions will be subject to a new administration fee of $75.00 plus HST.
In order to get a motor vehicle dealer or salesperson licence in Ontario, your application must demonstrate that you can follow the law and can act with honesty and integrity.
Acting with honesty and integrity requires a salesperson or dealership to act in a financially responsible manner. Dealers must conduct business in a financially responsible manner and the dealership must be financially stable.
The following are recommendations by OMVIC to meet the standard of financial responsibility:
- Hire a bookkeeper to collect, organise, and compile financial data
- Maintain a general ledger
- Conduct frequent bank reconciliations
- Prepare financial reports such as balance sheet and income statements
- Maintain records of all trades and sales (Requirement under MVDA)
- Establish a bank account in the name of the Dealership (Requirement under MVDA)
Although, a dealership may delegate tasks to other agents to assist with meeting the standard of financial responsibility, the dealership is ultimately responsible for the actions of those hired and must oversee their actions.
When OMVIC issues a proposal to revoke, refuse or refuse to renew your dealer or salesperson licence, you have the right to appeal the decision before the License Administrative Tribunal within 15 days of receiving the proposal. If you do not appeal, then the proposal is carried out and your licence will be refused or revoked.
A proposal to refuse registration of a dealership or salesperson may be issued if OMVIC’s Registrar believes:
- the applicant will not carry on business in accordance with the law and with integrity and honesty as a result of the past conduct of the applicant.
- applicant cannot reasonably be expected to be financially responsible in the conduct of business.
- applicant makes or provides a false statement on the application for registration or for renewal of registration. NOTE: not only does making a false statement disqualify the applicant from registration, but it may lead to criminal charges
- applicant failed to comply with terms and conditions of registration.
Anyone who wants to sell Motor Vehicles in Ontario must be registered by OMVIC.
- Complete OMVIC application form (https://www.omvic.on.ca/portal/portals/0/pdf/RegistrationForms/Individual_Application.pdf)
- Pay the applicable processing fee.
- Completion of the Automative Certification Course (http://www.georgiancollege.ca/omvic/); and
- Employment with a registered dealer to act as a salesperson.