Canada and Double VIP points

redghostx · 2014-03-21T00:20:11.000Z

Hi! Someone asked about a post I made in the Double VIP thread about saving $60 on a set. I figured that since it involved math (a passion of mine) and I had already done most of the calculations that maybe some other Canadians will find this useful. ============================================================== All data is based on the following:- I live in BC with a 12% tax rate, if yours is higher, then you will get slightly different results. Alberta tax is 5% - Washington state tax is 8-8.75%, depending on the county. Your border states may be different Oregon state tax is 0% and I make quarterly trips to or through Oregon Alberta residents (of which I have family there) pay no tax in Washington state as Washington has a law that guests from jurisdictions that don't pay sales tax do not have to pay the state/county sales taxes (all 8-8.75%). Every Lego set is cheaper in the US except for the VW van (120US vs 130 CDN) when using exchange rate if you pay PST/HST or a State tax. All VIP points are approximate - Exchange rate is 1.109 then add 2.5% for CC/bank fees - so 1.135 (this is as of March 17, the fact that the dollar has dropped over 1 percent this week doesn't matter, the dollar has to devalue to 80 cents to really have an impact on purchase power) ============================================================== Grand Emporium example or any $150US set. Canada - $199 + 12%=222.88 and $20 in VIP points = True cost of 202.88 Alberta - $199 +5%=209.99 and $20 in VIP points = True cost of 189.99 Washington - $149 + 8.75% *1.135=183.91and $15 in VIP points = True cost of 168.91 Oregon or tax free US - $149 *1.135=169.11 and $15 in VIP points = True cost of 154.11 SSD/DS or any other $400US purchase. Canada - $499 + 12% and $50 in VIP points = True cost of 509.99 Alberta - $499 +5% and $50 VIP in VIP points = True cost of 474.99 Washington - $399 + 8.75% *1.135 and $40 in VIP points = True cost of 453.71 Oregon or tax free US - $399 *1.135 and $40 in VIP points = True cost of 413.99 The savings on buying one $150 set in a tax free state at double VIP vs. buying one set in Canada at normal VIP is $61.23 Canadian. So if you can make it to a tax free state (or even low tax state), you can save $50-60 per $150 set. Even for shipping to the US, you save $34 although you may have fees if you use a brokerage. Basically, if you buy in a US tax free location for double VIP you save the difference in the USA to CAN retail price Two other notes: It may be possible to have a family member from Alberta buy you a set and have it shipped to you as a gift with only the GST. Since the sale is in Alberta, the lower tax rate applies. This assumes that you will use the VIP points shortly on a normal purchase (if I buy 1 GE and use the earned points to buy another) - your actual out of pocket expense will be higher. Hope this helps people make some more money :)

Byredghostx·12yinDeals

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Canada and Double VIP points

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