How to Sell a Boat in Ontario (2026)
The buyer's coming to see it Saturday, and the trailer's part of the deal. Here's exactly which paperwork is federal, which is Ontario's, and who pays the tax.
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Built by Nathan — nine years in the Canadian Army, paperwork done the hard way first.
Licence or registration? Know which boat you have
Boat paperwork is federal — Transport Canada's, not ServiceOntario's — and there are two different systems. A Pleasure Craft Licence (PCL) is a unique ID number, like a licence plate — it is not proof of ownership. It's required if the boat has one or more motors totalling 10 hp (7.5 kW) or more, valid 5 years, and costs $24.41 to issue, renew, or transfer. Vessel Registration is a title system — optional for most pleasure craft, needed only to name the vessel or register a marine mortgage. Most private recreational boats in Ontario are licensed, not registered.
Don't confuse either with the Pleasure Craft Operator Card (PCOC) — that's your personal competency card to operate a boat, like a driver's licence. It has nothing to do with the boat's own licence or registration.
Selling a boat in Ontario, step by step
- 1
Sign a bill of sale
This is the real ownership document for a licensed boat. Include both parties’ names and signatures, the boat’s make, model, year, colour, and length, the HIN (Hull Identification Number), the PCL number if the boat is licensed, the price, and the date.
- 2
Seller: do not cancel the Pleasure Craft Licence
The PCL number stays with the boat for its entire life. Cancelling it doesn’t transfer anything — it just leaves the boat unlicensed.
- 3
Buyer transfers the PCL within 30 days
Before operating the boat, the buyer applies through Transport Canada’s online PCELS system with government ID for all owners, the bill of sale as proof of ownership, a current photo of the boat, and the $24.41 fee. Transport Canada emails a temporary 30-day licence with the same number right away. Lost or never got a bill of sale? A declaration under oath can establish ownership instead — Transport Canada provides a sample declaration form on its proof-of-ownership page.
- 4
Buyer pays Ontario RST
Ontario charges 13% RST on a privately purchased boat and trailer (treated as “specified vehicles”), on the purchase price or fair market value. Boats aren’t registered at ServiceOntario, so the buyer pays the RST directly at a ServiceOntario Centre or to the Ministry of Finance with the bill of sale — and Ontario cross-checks Transport Canada records to confirm it was paid.
- 5
Transfer the trailer separately
The trailer is a provincially registered vehicle, not part of Transport Canada’s boat paperwork. It needs its own bill of sale and a registration/permit transfer at ServiceOntario.
Form 6 — only for registered vessels
Form 6 is Transport Canada's official bill-of-sale template for the Small and Large Vessel Registers, used to transfer a registered vessel along with the full chain of bills of sale from the registered owner to the buyer. If your boat is only licensed (PCL) — the common case — Form 6 is not required: a plain bill of sale is accepted, and Form 6 can serve as a convenient template if you'd like one. Full Form 6 explainer →
Ontario's 13% RST — how the buyer pays it
A private seller who isn't a GST/HST registrant doesn't charge GST/HST — but the buyer pays Ontario's 13% Retail Sales Tax on a privately purchased boat and trailer (treated as “specified vehicles”), calculated on the purchase price or fair market value. Because boats aren't registered at ServiceOntario, the RST is paid directly at a ServiceOntario Centre or to the Ministry of Finance along with the bill of sale — and Ontario cross-checks Transport Canada records to confirm it was paid. Family-gift and estate exemptions exist.
Selling the boat and trailer together
A boat on a trailer is two separate transactions. The trailer is a provincially registered vehicle — not part of Transport Canada's boat paperwork.
- •The boat: bill of sale + PCL transfer through Transport Canada.
- •The trailer: a separate bill of sale + registration/permit transfer at ServiceOntario. The buyer's 13% RST covers a privately purchased boat and trailer alike.
Common Questions
What do I need to sell my boat in Ontario?
A signed bill of sale — that’s the ownership document for a licensed boat. Don’t cancel the Pleasure Craft Licence; its number stays with the boat for life. Your buyer transfers the PCL within 30 days through Transport Canada ($24.41) and pays Ontario’s 13% RST at a ServiceOntario Centre or to the Ministry of Finance. A trailer sold with the boat is a separate bill of sale and permit transfer at ServiceOntario.
Do I need a bill of sale to sell a boat?
Yes. Pleasure craft generally don’t have a car-style title, and the PCL is not proof of ownership — the bill of sale is. It should include both parties’ names and signatures, the boat’s make, model, year, colour, and length, the HIN, the PCL number if licensed, the price, and the date.
How do I transfer a Pleasure Craft Licence?
The seller does not cancel the licence — the PCL number stays with the boat. The buyer applies to transfer it within 30 days of purchase, before operating the boat, using government ID, the bill of sale, a current photo of the boat, and a $24.41 fee through Transport Canada’s online PCELS system.
Do I need Form 6 to sell my boat in Ontario?
Only if the vessel is registered (Canadian Register of Vessels). Form 6 is Transport Canada’s official bill-of-sale template for registered vessels. For a licensed (PCL-only) boat — the common case — a plain bill of sale is accepted; Form 6 can be used as a convenient template if you’d like one.
Do I pay tax when I sell a boat privately in Ontario?
The buyer does. Ontario charges 13% RST on a privately purchased boat and trailer, based on the purchase price or fair market value, paid at a ServiceOntario Centre or to the Ministry of Finance. Ontario cross-checks Transport Canada records to confirm it was paid. Family-gift and estate exemptions exist.
Official sources
- Transport Canada — Apply/manage a Pleasure Craft Licence →
- Transport Canada — PCL fees and service standards →
- Transport Canada — How to apply for/transfer a PCL →
- Transport Canada — Proof of ownership for a pleasure craft →
- Transport Canada — Vessel registration →
- Transport Canada — Vessel registration forms (Form 6) →
- Ontario — Retail Sales Tax on specified vehicles (boats) →
Last updated: July 2026
Selling a boat anywhere in Canada
The national guide — PCL vs registration, Form 6, no-title sales, and every province's tax note.
Selling a car in Ontario
UVIP, bill of sale, transfer steps, and RST for private car sales.
Guidepost is not a law firm. This is general information, not legal or tax advice — verify current requirements with Transport Canada and ServiceOntario. Full disclaimer.