You may be entitled to claim the GST/HST new housing rebate if you:
substantially renovated your existing house;
converted a non-residential property into a house; or
built a major addition onto your existing house if, along with that addition, you also renovated the house.
Substantial Renovation
In addition to rebates on newly built homes, the HST New Housing Rebate also includes properties that are substantially renovated by 90% or more. According to the government, a Substantially Renovated Home is considered new so owners are also entitled to apply for the rebate.
In order to qualify for the HST Rebate the Substantially Renovated Home must be owned by individuals.
If the Substantially Renovated Home is owned by a company it does not qualified. If a Substantially Renovated Home is owned by more than one person, only one person from the group can apply for the HST Rebate.
The HST Rebate is based on a series of calculations that are directly related to the HST paid on building material, labour and subcontractor invoices to a maximum of $16,080.
Major Additions
There are circumstances where an addition to an existing residential property together with renovation of that property will result in eligibility for the new housing rebate. Contact us to find out more.
Conversions
If an individual converts a building that was used for a purpose other than as a residential complex into a residential property, the individual will likely be eligible to claim the new housing rebate.
Federal vs. Provincial Rebate
If the Fair Market Value at the time of the substantial renovation, major addition or conversion is less than $450,000, you can claim the HST rebate for some of the federal part of the HST you paid. The provincial rebate is available even when the federal is not. If the FMV is above $450,000, you can apply provincially if all conditions are met.