GST/HST Housing & Rental Rebate.
SMS CA can help you with this ensuring a timely and efficient refund.
How We Help
The GST/HST new housing rebate is applied for by the builder whereas the purchase of a condo or home for rent (NRRP) can only be applied for by the purchaser after closing and not the builder. For this reason, anyone who buys a new home or condo as an investment property should promptly apply for the rebate and the accountants at SMS CA can help you with this ensuring a timely and efficient refund.
GST/HST New Housing Rebate
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A rebate that allows an individual to recover some of the GST or the federal part of the HST for a new (or substantially renovated) home or condominium for use as the individual's primary place of residence.
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You may be entitled to claim a GST/HST new housing rebate for a house purchased from a builder if you purchased a new or substantially renovated house (building and land) from a builder.
You may be entitled to claim a GST/HST new housing rebate for an owner-built house if you built (or engaged someone else to build) or substantially renovated your home.
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Remember that HST is comprised of a GST (5%) & PST (8%) portion:
75% of PST up to a maximum of $24,000.
36% of GST if the price is less then $350k up to a maximum of $6,300. Between $350k-$450k, a reduced sliding scale applies and above $450k, the rebate is $0.
GST/HST New Residential Rental Property Rebate (NRRP)
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The NRRP is a claim for some of the provincial part of the HST paid for a newly constructed (or substantially renovated) rental property in Ontario
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If you have purchased a newly built home or condominium as an investment property, you are eligible for the new residential rental property rebate (NRRP) provided you have a tenant who has signed a lease for at least one year.
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There is a Federal and Ontario rebate which is filed separately:
Federal
The Federal Rebate is equal to 36% of the federal portion of the HST. The maximum rebate is $6,300, equal to 36% of the GST payable on a $350,000 home.
When your home’s fair market value exceeds $350,000, the rebate is “clawed back” as the home's value rises from $350,000 to $450,000. If your home purchase price is $450,000 or more, the federal rebate becomes $0.
Ontario
Unlike the federal rebate, Ontario doesn’t limit the purchase price. Therefore, you can claim the Ontario rebate even if you cannot claim the federal rebate.
The Ontario rebate is equal to 75% of the provincial part of the HST paid, up to a maximum rebate of $24,000. In other words, if the home's value exceeds $400,000, you should qualify for the maximum rebate of $24,000
Contact Us
You are our top priority, whether you need assistance, have a question, or would like to explore our services, feel free to reach out. Our dedicated team is ready to assist you.
admin@smscapc.com
Phone
(437)-677-4825