As pointed out in CarsWithoutborders back in 2007 and 2008, the “Price Gouging tactics” of Daimler-Chrysler and all the other car companies created a “transfer pricing” issue that while “screwing” hard working Canadians on price, also provided them with a loop-hole to avoid paying taxes.
Our Governments slow to jump on this have finally settled with a $1.5 B dollar win! We at CarsWithoutborders wonder what they have negotiated? Will the Governments continue to let them “hose” hard working Canadians. Why do we continue to pay 20 to 25% more than our U.S. cousins for Mercedes-Benz models?
Will our Governments go after the other companies as well? BMW? Stay tuned!
see the article by Greg Keenan 2011-03-01globeandmail.pdf