HST on New Builds

Submitted by paul_dejong86@hotmail.com on Fri, 06/11/2021 - 12:23

Hi just looking for some clarification for a new build town house for a rental property. In terms of the HST on closing if the purchase price is 600K from what I have researched I would have to pay 600,000 x 13% for a total of 78,000 then after I have a lease in place I can apply for a rebate of 24,000.

Has anyone gone through a new build purchase recently?

Thanks

- June 14, 2021

Hi Paul - when we bought new-build townhouses, that's exactly what we were advised to do. You pay the HST and then you claim a rebate if you can prove that you have leased the unit.

Always best to check with your accountant and/or an HST specialist. George Dube and Peter Cuttini (BDO) will be able to give you the latest advice on this issue. They are strong supporters and Partners with us.

Hope this help.