Housing in Ontario

The HST at 13% (composed of the 5% federal part and the 8% provincial part) generally applies to a taxable sale by a builder of newly constructed or substantially renovated housing in Ontario where both ownership and possession of the housing are transferred to the purchaser, under the agreement for the sale, after June 2010.

However, the HST does not apply to a grandparented sale of newly constructed or substantially renovated housing. The grandparenting rule generally applies to certain housing agreements that were entered into before June 19, 2009. GST at 5% applies to these sales.

You are entitled to claim the following rebates and a rebate for some of the federal part of the HST for the housing if all of the conditions for claiming each rebate are met. The conditions for claiming the Ontario new housing rebate and the Ontario new residential rental property rebate are similar to the conditions for claiming the related federal rebates, with the exception of the maximum threshold amount.

Forms and publications

• GST/HST NOTICE244, Harmonized Sales Tax for Ontario - Questions and Answers on Housing Rebates and Transitional Rules for Housing and Other Real Property Situated in Ontario
• GST/HST Info Sheet GI-077, Harmonized Sales Tax: Purchasers of New Housing in Ontario
• GST/HST Info Sheet GI-098, Harmonized Sales Tax: Resales of New Housing in Ontario and British Columbia

Date modified:

2014-11-07