new Harmonized Sales Tax (HST).
In Ontario, the existing 8% Provincial Sales Tax (PST) and 5% federal Goods
and Services Tax (GST) will be combined to create the 13% HST.
In BC, the existing 7% Provincial Sales Tax (PST) and 5% federal Goods and
Services Tax (GST) will be combined to create the 12% HST. However, there
are government cost-savings initiatives that have been put in place to help
home buyers, home owners and investors such as the GST/HST New Housing
Rebate.
The GST/HST New Housing Rebate program provides a rebate on part of the GST
or the federal part of the HST paid on the construction or purchase of most
newly constructed or substantially renovated houses used as a primary place
of residence.
If you purchase a home after July 1, 2010, you may qualify for the GST/HST
New Housing Rebate.
GST/HST New Housing Rebate
The New Housing Rebate allows you to recover a part of the GST/HST that you
paid on the purchase price or cost of building a new, or substantially
renovated house.
What type of housing qualifies?
These types of housing qualify for the rebate:
you built a major addition on land that you own or lease (you can do the
work yourself or hire someone to do it)
Whether you're a first-time home buyer, a home owner planning to trade up,
or you've decided to stay put, make sure you know about savings programs
that benefit you.
For more information regarding the GST/HST New Housing Rebate, contact the
Canada Revenue Agency (CRA) or visit their website at:
Canada Revenue Agency
This article is written by or on behalf of an outsourced columnist and does not necessarily reflect the views of Castanet.