The HST and what you need to know if you are a home buyer
The provincial and federal governments will combine the seven per cent provincial sales tax (PST) and the five per cent federal Goods and Services Tax (GST) into one 12 per cent Harmonized Sales Tax (HST), effective July 1, 2010.
Generally, if you are planning to buy a new home, the GST rules that currently apply to residential property will also apply under the HST as of July 1, 2010.
The good news
Home buyers of new detached, attached and condominium apartment may be eligible for a New Housing Rebate if you buy, as your primary residence a:
- new home together with land
- new home together with leased land
- new mobile home or floating home
- home you buy through shares in a housing cooperative
- home constructed or substantially renovated (more than 90 per cent) by the owner who is the owner-builder
The maximum home price had been $400,000 to be eligible. In October 2009, the Real Estate Board asked the government to raise this amount to $700,000.