Here are a couple guides found online which should answer most of your questions..

From  http://www.auto-broker-magic.com/Canada_Import.html

1. Check if the car that you are planning to purchase is admissible for importing into Canada. The list is available at: http://www.riv.ca/english/US_vehicle_admissibility.pdf. This list also will state if any major modification is required to import your car into Canada.

2. Get your new car insured by your Canadian insurance company. Make sure that your insurance covers you while you are in the United States. The insurance coverage should begin on the day that you are planning to pick up your car.  In Ontario, if you have a current insurance plan for another vehicle, it SHOULD automatically cover the new vehicle for 14 days from the date of purchase.  Verify this with your insurer.

3. After purchasing your car at a U.S. Dealer, they will issue you a one-month temporary license plate. You can drive in the U.S. and Canada (while you are completing the import process) with the temporary license during this period.

4. Fax the car's Certificate of Title to the U.S. Customs at the border where you will be exiting the Country. U.S. Customs needs three business days to process the title before they can authorize exportation of your car (a stamp is needed for importing the car into Canada). Call the U.S. Customs office to ensure that they have received your fax.

5. Request a "proof of recall clearance document" from your car's manufacturer. This will be required to register your car in Canada.

6. Drive the car to Canada. Allow three business days from when you faxed the title to the U.S. Customs before you go through the border (otherwise you will have to come back to the border to get the export stamp later). Note that Canada Customs may not allow a Canadian resident to drive their car with a U.S. license plate in Canada, unless they are satisfied that the owner is in the process of licensing the car in Canada. Make sure you go through the U.S. Customs office that received your fax (refer to Step 4 above).

7. Get your Certificate of Title stamped for exportation by U.S. Customs.

8. Drive to the Canadian Customs office. They will need the Bill of Sale and the Certificate of Title stamped by U.S. Customs for exportation. You will pay 6% GST (5% on January 1st, 2008), CAD$100 excise tax if your car has an air conditioner, and CAD$182 fee for the Registrar of Imported Vehicles (cars manufactured in the U.S.A and Canada are normally exempt from additional import duties.  Cars manufactured outside of North America will have a 6.1% duty added to the cost). You may use a credit card for the payment. You will receive the Vehicle Import Form - Form 1. You will need this form to register the car in your province. A second form, Form 2, will be mailed to your home address within 5 to 7 business days.

9. In Ontario you will have to carry out a safety inspection and a vehicle emission inspection.

10. About two weeks after your arrival in Canada, you will receive the "Vehicle Import Form - Form 2" by mail.

11. Take Form 1 and Form 2 and the "proof of recall clearance document" (letter from your car's manufacturer which you requested in step 5 above) to an approved federal inspection centre (e.g. Canadian Tire). The service centre will do an inspection of the car to ensure that it conforms to Canadian standards. If your vehicle did not require major alterations according to http://www.riv.ca/english/US_vehicle_admissibility.pdf, it should pass this inspection with no problem. This inspection should not cost you anything, except if any modification is required. After the completion of the federal inspection, the inspector will stamp Form 1.

12. Take Form 1, original title, bill of sales, safety inspection certificate (Ontario), emission inspection certificate (Ontario), and insurance certificate to your vehicle licence issuing office (the documents may vary in other provinces). In Ontario you will have to pay 8% Provincial Sales Tax and some additional fees for your license plate purchase and sticker.

13. Within a few days, you will receive your car's Canadian Certification Label by mail, which you will have to affix to the car.

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From  http://www.redflagdeals.com/forums/showthread.php?t=477998

Good to Know Before Finding the Car You Want to Purchase - New or Used, Privately or From a Dealer
Remember, you do not have to pay any sales taxes on the car in the State of Washington: http://www.leg.wa.gov/pub/billinfo/2.../2158-S.SL.pdf

Sales taxes on vehicles also will not apply for you in many other US states (including New York, Oregon, etc.).

Note: To make everything easy, I recommend not try trading-in a vehicle to a US dealer. It’s way too complicated – so sell the vehicle in Canada privately instead. Also, if you’re going to buy from a US dealer, it's easiest to pay for the vehicle entirely in lump-sum cash.

No duties at the border are paid on the vehicle purchased in the US unless it does not have have sufficient "North American content" - that is, parts/components made in North America. Most cars made in North America meet the content rule but some may not. So, if your NA made car draws Duty, you'll know why.

It’s a vehicle made in North America if it has a VIN that begins with a 1, 2, 3, 4 or 5.

1, 4, 5=USA
2=Canada
3= Mexico
J=Japan
W=Germany
K=Korea

Vehicles manufactured outside Canada, the US or Mexico are assessed a 6.1% duty fee.

You will find that at least the following brand new vehicles can (depending on the exact one you are purchasing) or will have a North American VIN:

Acura MDX - Alliston, Ontario
Acura RDX - Marysville, Ohio
Acura TL – Marysville, Ohio
BMW X5 – Spartanburg, South Carolina
BMW Z4 – Spartanburg, South Carolina
Honda Accord – Marysville, Ohio
Honda Civic – East Liberty, Ohio
Honda CRV - East Liberty, Ohio
Honda Element – East Liberty, Ohio
Honda Odyssey – Lincoln, Alabama
Honda Pilot – Lincoln, Alabama
Honda Ridgeline - Alliston, Ontario
Mercedes-Benz M-Class – Vance, Alabama
Mercedes-Benz R-Class – Vance, Alabama
Mazda 6 – Flat Rock, Michigan
Mazda B-Series – Minneapolis, Minnesota
Mazda Tribute – Kansas City, Missouri
Hyundai Sonata – Montgomery, Alabama
Hyundai Santa Fe – Montgomery, Alabama
Infiniti QX56 – Canton, Mississippi
Isuzu Ascender – Moraine, Ohio and Oklahoma City, Oklahoma
Isuzu i-Series Pickup – Shreveport, Louisiana
Lexus RX350 (previously known as the Lexus RX330) – Cambridge, Ontario
Mitsubishi Eclipse – Normal, Illinois
Mitsubishi Endeavor – Normal, Illinois
Mitsubishi Galant – Normal, Illinois
Mitsubishi Raider – Warren, Michigan
Nissan Altima – Smyrna, Tennessee and Canton, Mississippi
Nissan Armada – Canton, Mississippi
Nissan Frontier – Smyrna, Tennessee
Nissan Maxima – Smyrna, Tennessee
Nissan Pathfinder – Smyrna, Tennessee
Nissan Quest – Canton, Mississippi
Nissan Titan – Canton, Mississippi
Nissan Xterra – Smyrna, Tennessee
Saab 9-7X – Moraine, Ohio
Subaru Baja – Lafayette, Indiana
Subaru B9 Tribeca – Lafayette, Indiana
Subaru Legacy – Lafayette, Indiana
Subaru Outback – Lafayette, Indiana
Suzuki XL7 - Ingersoll, Ontario
Toyota Avalon – Georgetown, Kentucky
Toyota Camry and Camry Hybrid – Georgetown, Kentucky
Toyota Camry Solara – Georgetown, Kentucky
Toyota Corolla – Fremont, California
Toyota Sequoia – Princeton, Indiana
Toyota Sienna – Princeton, Indiana
Toyota Tacoma – Fremont, California
Toyota Tundra – Princeton, Indiana


1. Double-check that the car you are going to purchase is permitted in Canada:
http://www.riv.ca/english/US_vehicle_admissibility.pdf

2. As of March 20 2007, if you import a big V8 vehicle (or any "gas guzzler" as defined by the RIV), you can pay up to $4000 in extra "green levy" fees. This charge will be part of the fees you pay to Canada Customs (which you will see later on in these instructions). For more info: http://www.riv.ca/english/07.03_New_Green_Levy.pdf

For imported vehicles, the tax will only apply to automobiles put into service on or after March 20, 2007. An automobile is considered to be put into service at the earliest of:
• the date the automobile is registered with a motor vehicle authority;
• the date it is plated;
• the date on which the automobile’s warranty has been put in place; or
• the date the automobile is appropriated by a dealer for their own use.

3. Check that the warranty for the car is also valid in Canada by calling the US side of the manufacturer and asking how the vehicle warranty would apply if you had to immediately move your American vehicle to Canada (due to possible relocation for a job, for example). If warranty coverage is unavailable in Canada, you can get a third party warranty from http://www.ensurall.com

Keep in mind that, even if you have to pay for a third party warranty, you are still saving thousands of dollars in many cases.

Canadian warranty status of new cars imported from the USA:
Link 1
Link 2

Making the Deal (Only Follow if Buying From a Dealer)
1. Identify prospective dealers and e-mail their Internet Sales Managers. State what you want to buy, that you need temporary tags, and that you will not pay state tax (because you will be registering the vehicle in Canada). Also state you will make a deposit by credit card and wire the full amount before picking up the car. Be fully open about your intentions – some will say they can’t sell without charging state tax (and offer to let you choose the state if you can provide an address), while others will accommodate you.

Dealers of Toyota/Lexus and a few other brands that are willing to sell BRAND NEW VEHICLES to Canadians can take some hard work to find (they are perfectly willing to sell you anything that's been even slightly used, however!!). It's easier to find dealers willing to sell brand new if they are not located near a US/Canada border point. If you have a friend or relative in the US, you may want to try this (as out-of-state vehicle purchases for them will most likely be tax-free) - especially if you're having trouble finding a dealer willing to sell to you:

2. Negotiate price/package with chosen dealer (usually starts by e-mail and ends by phone). For new vehicle prices in the US, check: http://townhall-talk.edmunds.com/WebX/.ef17997/

3. Pay deposit by credit card. Get VIN Number. Get bank info for wire transfer of payment (bank, branch, a/c, FAST #; dealer accounting dept. usually has this info, and sales manager likely won’t). Some dealers may want to fax you the Buyer’s Order, for you to sign and fax back; others are happy with your credit card deposit ($500 should be sufficient). Watch the exchange rate (it can vary by 0.5% during the day) and service fee (0.5- 2.5%); my credit card charges 2.5% above the official exchange rate while my Investment account only charges 1% (for $25K or more); the best I’ve seen on the Internet is 0.5% (the person had access to the exchange service used by his firm).

Allow a few business days for the wire transfer to arrive (it won’t be instantaneous!).



After You’ve Arranged the Deal
1. Steps 2-11 in this part should suffice for your vehicle importation. As a precaution, I highly recommend that you print, read and understand everything here (and keep a copy to take with you along with this entire document): http://www.riv.ca/english/html/how_to_import.html

2. Have the dealership fax what is known as either the Manufacturer Certificate of Origin or Manufacturer State of Origin (MCO or MSO) to US Customs 72 hours (no less than that - this is extremely important) before your arrival at the border crossing. If the vehicle is used, you will need to fax the DMV Title (it will be signed over to you at purchase by the owner - and it was produced by the DMV the first time the car was registered) instead of the MCO or MSO. Please note that some ports require the original MCO or MSO (or DMV Title, if your vehicle is used) to be couriered - because they won't accept a faxed copy. The best thing to do is call the port you will be going through and ask them whether they will accept a faxed copy as opposed to a courier of the original. If faxing, be sure to call the US Customs port after the fax has been sent to ensure that the fax is fully legible and does not need to be re-faxed.

3. Obtain a typed letter (with letterhead) from the manufacturer (not the dealership) stating the car (including the specific VIN) does not have a Recall Pending. This paper, known as the Recall Letter, explains that there are no outstanding recalls associated with your vehicle. If this paper states that there are outstanding recalls, you'll have to fix the corresponding deficiencies in order to complete and pass Federal Inspection in Canada for a new car. Check for liens too. For further information: http://www.riv.ca/english/html/recall_clearance.html

Also check here for contacts for recall letters from other manufacturers: http://www.riv.ca/english/html/recall_contacts.html

4. The dealer will provide you with a temporary transit plate stuck on the rear window. You may need a Temp plate from State to State if you're importing a vehicle farther from the border States. Before leaving the dealer with your vehicle, check that you have the temporary registration and temporary state license plates, and sales receipts. The vehicle should have the manufacturer’s compliance label on the driver’s door frame (has date of manufacture, manufacturer, statement of compliance with regulations, etc.).

5. Call your insurance company and provide the VIN number to arrange coverage. If you give the insurance company the VIN # of the car you're going to buy, you can ask them to send you a fax of the insurance form so you have proof that you have insurance. If you do not do this and you get stopped by police, you will at the least get a fine for driving without insurance. TD Auto will insure your new car no problem but you have to tell them the VIN I believe before you just buy and drive.

6. Call the border crossing you will be going through and ask them what times they're open so you don't go at the wrong time. You will arrive at the border crossing with your new car. First, park the car and bring in ALL documentation (everything that's been mentioned up to this step, including the receipts, recall letter, proof of insurance, etc.). I walked into US Customs there and went to the counter and told them that I was exporting a vehicle and showed them the paperwork. They looked at the car, stamped my MCO or MSO (or DMV Title, if your vehicle is used), checked the VIN to the car and I was out the door. For a used car, they might inspect it a little more. It took me less than 10 minutes. This is where the paperwork that the dealer put together came in handy. No scrummaging through papers, everything was in order.

7. After dealing with US Customs at the border, you now have to go through Canada Customs. At the booth, I told the officer I was importing a vehicle to Canada. He gave me a yellow slip and told me to see the officers in the building. Parked the car again and went to the desk and showed them all paperwork again. They will also fill out "Form 1" which you'll need later on. Showed them the Bill of Sale and they converted the amount I paid US into CDN dollars. From there, the US is amount converted into CDN dollars. I was charged the GST (6%) on this amount. If it's a used vehicle, don't under-declare the value of the vehicle you are importing. Canada Customs has the ability to seize your vehicle. The vehicle (and all goods in it) will be seized, you won't be charged/arrested under the Customs Act unless the officer feels you have hindered them. You will, however, have committed an offense under the Customs Act. There is an import duty fee of 6.1% if the vehicle isn't sufficiently made in North America (as described earlier) and there is also a $100 Air Conditioning Tax. The RIV Importation Fee is now $206.70, and also must be paid, and only credit card is accepted (NO Interac). This is because the $206.70 goes directly to Transport Canada - NOT to the CBSA. Another 15 mins. After all is paid, you're good to go. Again this is where the paperwork being in order will come in handy. I've read horror stories of missing 1 vital piece of information and being turned back and refused entry.

8. Drive to your home in Canada and park your car. Email or fax your MCO or MSO (or DMV Title, if your vehicle is used), and Recall Letter, to the RIV and they will process your application and email you Form 2 the same day IF you call them with your case # (which is affixed to the top of Form 1) right away. Otherwise, it can take 3-10 business days.

9. Form 2, once you've received it, will enable you to bring the vehicle to Canadian Tire to have the vehicle inspected to meet Canadian Standards (i.e. bumpers, Daytime Running Lights, Child Tethers, Airbags). Bring Form 2 to CT for inspection. They will stamp your Form 2 and ask for the "Recall Clearance Letter" as mentioned before, and fax it to the RIV. Please note that there must be metric markings on the speedometer, but it doesn't mean the speedometer must be replaced even though miles per hour are more prominent on vehicles manufactured in the U.S.

10. Obtain proof of insurance for your new vehicle through your auto insurer.

11. Present stamped Form 1, MCO or MSO (or DMV Title, if your vehicle is used), and Canada Customs payment form to your provincial licensing authority for registration & plates. This is also where you would pay any PST (if applicable in your province) on your vehicle. Pay to have the car registered and plated. You can use the Temp plate for the time being, but I don't suggest it as it is a TEMPORARY PLATE. You don't need an Emissions test if it's a new car. You may be asked to get an out-of-province inspection (OOP) if the car is not brand new, and should follow this instruction. However, IF the car is brand new AND you have the MCO or MSO, you don't need the inspection. Be firm in this case, and go to another registry office if they don't budge.

12. After that's all done, confirm with the RIV that they will send you a letter with Canadian Certification Label to affix to your door sill (usually comes within 10 business days). The letter looks like this:
http://usera.imagecave.com/alysomji/rivletter.jpg

The label looks like this:
http://usera.imagecave.com/alysomji/...ationlabel.jpg


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From http://www.redflagdeals.com/forums/showpost.php?p=4160338&postcount=1

First of all, ensure the vehicle you choose to import is admissable to Canada. Another is to see if the vehicle's warranty is transferable, if new, so that you won't have any problems servicing the vehicle up in Canada. You may choose to purchase a separate warranty other than the manufacturers if you decide on a vehicle that the manufacturer's warranty isn't transferable. I haven't compiled a list of the manufacturers who's warranty is transferable, so it'll take a little digging. A website stated many times in other threads is the RIV : http://www.riv.ca/english/html/us_ve...ssibility.html. This site is like the bible of importing, and if you miss this step, you'll be stuck with a car you paid FOR and not being able to bring it back to Canada.

The next step is to find the car you wish to import, and a good place to start is www.autotrader.com which contains the largest collection of vehicles in the US. This site also provides the VIN's for CarFax. You'll most likely end up making 2 trips to where the car is located, or like me, arrange everything over the phone with a dealer in the US. I ended calling a lot of border dealers and some other contacts further south on RFD. Many dealerships were reluctant to sell to Canadians due to political red tape. I found one that was willing to sell to me...it just took a little phoning around. Many of the dealers again, don't want to risk their franchises or be penalized by selling to Canadians. I've been told that you have to go a little farther down south in the US to find a dealer for Toyota or others, but not along the border states to Canada as in Detroit, Ohio, NY, etc etc...

Once you've found the car, if it's brand new and from a dealer, you may not need to check it through www.CarFax.com. A used car is surely a must to ensure if the odometer has been tampered with or if it's a salvage title, etc, etc....BE AWARE!

Another thing is to have proof of insurance coverage with the vehicle you're going to purchase as per the dealer. Provide them with the VIN number, Year, Make, Model, and they should send you a letter confirming coverage. The insurance co. I dealt with gave me 14 days to get the car registered in Ontario, so more than enough time.

I purchased brand new and the best thing was NO STATE TAXES in NY if you're exporting the vehicle. In addition, the dealer produced all necessary documents into a booklet, so when I reached the border, Customs officials basically looked through the table of contents to find what they needed. In both cases for a new/used car, you need a "recall clearance letter" from the manufacturer. This paper explains that there are no outstanding recalls associated with your vehicle which has the VIN # on it too. If this paper states that there are outstanding recalls and isn't clear, you'll have to fix those deficiencies in order to complete and pass Federal Inspection in Canada for a new car. Check for liens too. For further information: http://www.riv.ca/english/html/recall_clearance.html

Also check here for contacts for recall letters from other manufacturers: http://www.riv.ca/english/html/recall_contacts.html

You must fax both sides of the ownership (MSO aka "Manufacturer State of Origin") to US Customs at the port which you'll be driving the car back through. *Important*, IT MUST BE LEGIBLE, or else it won't be accepted. You'll get a big surprise when you get to the border and be asked to turn back. Call about 2 hours later to confirm that they've received it...Again, if it's a new car, the dealer will do it for you in some cases, if used, you must do it yourself. Here is the number for US Customs at the Queenston Lewiston Bridge: 1-716-282-1400. If you're importing through the Queenston-Lewiston Bridge, it can be done Mon-Fri- 8:00am to 4:00pm. NO WEEKENDS...As others mentioned, Alexandria Bay near Thousand Islands is open 24/7 for imports as others here have reported. Another Port of Entry is Alexandria Bay, near 1000 islands. Tel315) 482-2472.

Again, since I bought my car brand new, I negotiated everything through the phone. I made a deposit over the phone of $500, faxed him proof of insurance and took the bus down to Buffalo, cost me $26.xx, one way. I suggest buying a round trip, as Customs questioned me about the one way ticket, and they do have the right to refuse you entry to the US...just my 2 cents though. The dealer then picked me up at the bus station in Buffalo. From there, I brought a certified cheque for the amount of the vehicle negotiated and declared it at Customs. Please all, don't hide what you're bring over. It clearly states that you must declare that you have more than $10 000. Customs has the right to confiscate your money for not declaring it.

Now the fun begins...After you've signed everything, paid and checked the vehicle, you're good to go. The dealer will provide you with a temporary transit plate stuck on the rear window. You may need a Temp plate from State to State if you're importing a vehicle farther from the border States. From there, drive to border and stop at the US Customs side before you go through Canada Customs. It's just off to the left before you cross the bridge!!! Park the car and bring in all documentation including proof of insurance, original ownership and recall letter. I walked in and went to the counter and told them that I was exporting a vehicle and showed them the paperwork. They looked at the car, stamped my ownership, checked the VIN to the car and I was out the door. For a used car, they might inspect it a little more. It took me less than 10 mins. This is where the paperwork that the dealer put together came in handy. No scrummaging through papers, everything was in order.

Next...Canada Customs. At the booth, I told the officer I was importing a vehicle to Canada...gave me a yellow slip and told me to see the officers in the building. Parked the car again and went to the desk and showed them all paperwork again. They will also fill out "FORM 1" which you'll need later on. Showed them the Bill of Sale and they converted the amount I paid US into CAD dollars. From there, the US amount converted into CAD, I was charged the GST (6%). If it's a used vehicle, declare the value and don't under declare the value of the car. Canada Customs has the ability to seize your vehicle. The vehicle (and all goods in it) will be seized, you won't be charged/arrested under the Customs Act unless the officer feels you have hindered them. You will however have committed an offence under the Custom Act. Oh yeah...there is a import duty fee of 6.1% if the vehicle isn't made in North America and $100 A/Conditioning Tax. The RIV Importation Fee is now $206.70 and only credit card is accepted, NO Interac. This is because the $206.70 goes directly to Transport Canada, the funds do NOT go to the CBSA. Another 15 mins. After all is paid, you're good to go. Again this is where the paperwork in order came in handy. I've read horror stories of missing 1 vital piece of information and being turned back and refused entry.

I drove home, parked the car and waited until "Form 2" was sent to me from the RIV (usually within about 10 days). Form 2, once you've received it through the mail, will enable you to bring the vehicle to Canadian Tire to have the vehicle inspected to meet Canadian Standards...ie. bumpers, Daytime Running Lights, Child Tethers, Airbags. Bring "Form 2" to CT for inspection. They will stamp your Form 2 and ask for the "Recall Clearance Letter" as mentioned before, and fax it to the RIV. Others have mentioned physically going to the RIV which is located at 405 The West Mall in Etobicoke, Toronto to obtain "Form 2" instead of waiting for the Form 2 to arrive. It's up to you. Bring all documents to the MTO and have the car registered and plated and PAY again...this time the PST (8%) (ouch). You can use the Temp plate for the time being, but i don't suggest it as it is a TEMPORARY PLATE. You don't need a Emissions test if it's a new car. Older cars, 5+ yrs, yes.

After that's all done, the RIV will send you a compliance label to affix to your door sill...Good Luck All....Don't know if all this savings will come to an end and manufacturers will stop honoring the warranties.

FINANCING

As requested, for financial options on purchasing the vehicle...there aren't many, period. Option 1: CASH. Option 2: As many have suggested in this thread: http://www.redflagdeals.com/forums/s...d.php?t=307601 you most likely bet would be your LOC (Line of Credit). Interest Rates are comparable to some of the financing rates that dealers are offering, but don't quote me on that one (no flaming Please!). Check with your local banking institutions. You're unable to finance the vehicle in the US, as you're not a resident, and don't possess a SSN. I chose this time to purchase because of the rising dollar (don't know if the dollar will continue rising or fall again) and the conversion rate was favorable at 1.113679 at the time I converted into USD. So, given the calculations, including the RIV fees, PST, GST, and plates, I still came out ahead. Option 3: Get a conventional bank loan and convert to USD. Lastly: I've been told is that some banking institutions will actually finance the car loan for you. Again, check with your local Bank. Now is the time to save for a NEW CAR!... AGAIN...GOOD LUCK!