You see a daily rate — $650 for the Mercedes G-Class — and you do the mental math. A three-day rental: $1,950. Simple. Then the invoice arrives and it's higher. A lot higher. What happened?
Taxes. British Columbia applies a combined 12% PST (Provincial Sales Tax) plus GST (Goods and Services Tax) on vehicle rentals. And for luxury vehicles — those with a purchase price above $75,000 — an additional PST surcharge applies. Here's exactly what you'll pay on a Mogestic luxury rental in Vancouver.
The Tax Breakdown
| Tax | Rate | Applies To |
|---|---|---|
| GST (Goods and Services Tax) | 5% | All vehicle rentals |
| PST (Provincial Sales Tax) | 7% | Standard vehicle rentals |
| PST surcharge (luxury vehicles) | Additional 8% | Vehicles with purchase price above $75,000 |
| Total tax on luxury rentals | 20% | PST 15% (7%+8%) + GST 5% |
On a $650/day Mercedes G-Class, the all-in cost with taxes is approximately $780. A three-day booking at $1,950 before tax becomes roughly $2,340. The tax is real and it's significant — budget for it.
What Else Adds to the Total
- Delivery fees. If you request curbside delivery to YVR, a downtown hotel, or your residence, a delivery fee may apply. Luxe car rental delivery typically ranges from $150-$250 depending on distance and location. Confirm delivery fees at booking.
- Security deposit hold. This is not a tax and not a fee — it's a pre-authorization on your credit card that releases after the vehicle is returned. But it does reduce your available credit during the rental period. Expect $2,000-$5,000 depending on the vehicle.
- Mileage overages. The daily allowance is 200 km/day. Exceeding it triggers a per-kilometer charge at the disclosed rate. A Vancouver-to-Whistler round trip is approximately 250 km — if you're doing that daily, you'll exceed the daily cap. Weekly and monthly rentals include higher mileage allowances.
- Late return fees. After the 30-minute grace period, hourly rates apply. Past 90 minutes, you're charged a full additional day at the daily rate.
- Cleaning fees (if applicable). Normal use (floor mat dirt, fingerprint smudges) doesn't trigger cleaning fees. Excessive mess — food spills, pet hair in non-pet-designated vehicles, mud tracked into the cabin — may incur a cleaning charge at Mogestic's discretion.
What's Included in the Daily Rate
Mogestic's daily rate includes several items that some rental companies charge separately:
- Collision Damage Waiver (CDW)
- Standard maintenance and roadside assistance
- Winter tire fitting (October 1 – April 30)
- Pre- and post-rental inspection documentation
There's no separate insurance surcharge, no winter tire upcharge, and no inspection fee. The rate you see is the rate for the vehicle, before tax.
Sample All-In Calculation
A one-day Mercedes G-Class rental, delivered to YVR airport:
| Line Item | Amount |
|---|---|
| Daily rental rate | $650 |
| Tax (20% combined PST/GST) | $130 |
| Delivery fee (estimated) | $150 |
| Total estimated | $930 |
Without delivery (pickup at Mogestic's location), the same day costs approximately $780 all-in.
FAQ: Taxes and Fees at Mogestic
Is the 20% tax rate the same for all three vehicles?
Yes. The Porsche 911, Mercedes G-Class, and BMW XM all have MSRPs above $75,000, so the 15% PST (7% standard + 8% luxury surcharge) plus 5% GST applies uniformly. There's no tax difference between the vehicles in the fleet.
Does the tax apply to the security deposit?
No. The security deposit is a pre-authorization hold, not a charge. Tax applies to the rental rate only.
Can I avoid delivery fees by picking up at your location?
Yes. Mogestic offers pickup at its Vancouver location with no delivery fee. Curbside delivery to YVR, downtown hotels, or residences is available for an additional fee.
Are there any hidden fees I should know about?
No hidden fees. The rental rate, tax rate, mileage allowance, and per-kilometer overage rate are all disclosed before you commit. The security deposit amount is disclosed at booking. Late return fees are disclosed when the grace period is explained at pickup.
Does the 20% tax apply to weekly and monthly rates?
Yes. The tax rate is applied to the total rental amount regardless of duration. A monthly G-Class rental at approximately $12,500 incurs roughly $2,500 in tax.
Is parking included?
No. Parking at the pickup location or your destination is your responsibility. Downtown Vancouver parking can cost $20-$40/day in a private garage. Factor parking into your total cost.
The Bottom Line
When budgeting for a Mogestic luxury rental, add 20% tax to the daily rate, plus any delivery or parking costs. A $650/day G-Class is roughly $780 after tax. A $1,950 three-day booking is roughly $2,340. The tax is consistent, predictable, and fully disclosed — but it catches first-time renters off-guard. Budget for it, and the invoice won't surprise you.
Ready to book? Call Mogestic at (604) 841-0366 and ask for an all-in quote including tax, delivery (if needed), and any additional fees specific to your rental period. We'll give you the full number before you commit.
