The Extra's on bill of Sale! Freight, PDI, Air Tax, DOC Fee's, Window Etching..What are all these charges on the bill mean? Well here's the breakdown!

The Freight is $1,095 represents the amount charged by the manufacturer to transport the vehicle to the dealer's lot. Freight charges vary from model to model.

The PDI (Pre-Delivery Expense/inspection) represents the amount that the dealer to charge for setting up the vehicle for delivery (including all pre-delivery inspections, mechanical set ups, and detailing).

The other fees and taxes that must be paid in Ontario for a new car are:

Air Tax. The federal government charges an air conditioner excise tax of $100 (if your vehicle has air conditioning).

OTS Tax. The Ontario Tire Stewardship fee is charged on all tires to cover the eventual disposal cost for the tires on your car. The government used to charge this only when you disposed of old tires but recently decided it was better to get the money upfront. For passenger vehicles and light trucks, the fee is $5.69 per tire. With four tires and a spare on your new car, the fee works out to be $28.45.

OMVIC Fee. The Ontario Motor Vehicle Industry Council is the governing body for car dealership and car salespeople. OMVIC collects a $5 transaction fee to support its dispute resolution activities.

Bank Fee. If you finance or lease a vehicle, the bank or leasing company will charge a fee to set up the loan and register the lien on the vehicle under the requirements of the Personal Property Security Act (PPSA). Our fee is 76.70. If you pay cash, this charge does not apply.

Licensing. Most dealerships charge an administration fee to take care of the licensing of the new vehicle including transferring plates if necessary. The charge is normally about $25 plus the cost of your sticker plus any outstanding fines.

HST. Most goods and services in Ontario are now subject to the 13% HST which replaces the old PST/GST. If you are trading in a vehicle, you only pay HST on the difference between the new car price and the value of you trade-in.

Security Package. Most dealers etch their vehicles with a police traceable code that is part of an insurance policy in case the vehicle gets stolen. You may purchase this protection, however, depending on your current automobile insurance policy, you may already have equivalent coverage from your insurance company. Look for this on your purchase agreement; it may have already been included in the payment quoted.

• Nitrogen Filled Tires. There are benefits to having your tires filled with 100% nitrogen as it helps maintain constant tire pressures and helps improve tire life. If you buy it, see that you get some kind of road hazard tire warranty with it. And note what is charged for this extra. Some dealers include it with the security package.
• Wheel Locks. Most cars now come with expensive alloy wheels so most dealers install wheel locks on the vehicle when it arrives on the lot. This is pretty inexpensive insurance against getting these stolen off your vehicle. Dealers usually charge about $75 to install these locks. We charge 49$