Administrative Policy
28 February 2019 CBA Roundtable, Q.11
Provided that the designated operator for a joint venture to construct a multiple unit residential complex has a beneficial interest in the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 256.2 - Subsection 256.2(3) | JV operator (with a proprietary interest) of a new apartment project is the one to claim the NRRP rebate | 231 |
23 March 2017 CBA Commodity Taxes Roundtable, Q.20
In an appreciating housing market, an individual purchaser whose plans have changed, assigns his purchase contract back to the builder for an...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Schedules - Schedule V - Part I - Section 2 | no GST/HST should be charged on a cancellation fee paid by a new home builder to the purchaser | 298 |
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Real Property | purchase contract was real property | 106 |
| Tax Topics - Excise Tax Act - Section 221 - Subsection 221(2) | s. 221(2) exclusion can apply to an interest in a purchase agreement | 186 |
23 March 2017 CBA Commodity Taxes Roundtable, Q.9
Under the s. 123(1) “builder” definition, it is possible to have more than one “builder” of a building at the same time. Under s. 191(10),...
Excise and GST/HST News – No. 91 under "Head leases and subleases of new residential property: who must self-supply and who may be entitled to a rebate?" May 2014
If a person purchases newly constructed or substantially renovated housing for the purpose of leasing or licensing it to an individual as a place...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 191 - Subsection 191(1) | purchase of new housing by head lessor | 284 |
RC4231 "GST/HST New Residential Rental Property Rebate” October 2016
Exclusion for purchasers under purchase agreement
Generally, you are a builder of a residential complex, or an addition to a multiple unit...
Paragraph (a)
See Also
Universo Home Construction Ltd. v. The Queen, 2019 TCC 87 (Informal Procedure)
CRA denied the ability of a home builder (“Universo Home”) to claim a new home rebate purportedly assigned to it pursuant to ETA s. 254(4) on...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 254 - Subsection 254(4) | backdated declaration of trust did not preclude a finding that a company was the beneficial owner of a new home construction | 438 |
| Tax Topics - General Concepts - Ownership | construction company qualified as beneficial owner based on bearing costs and late-executed declaration of trust | 176 |
Administrative Policy
7 April 2022 CBA Roundtable, Q.7
Regarding whether the conversion of a rental apartment building into condo units would be subject to GST/HST in the hands of an owner under the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 191 - Subsection 191(1) | s. 191(1) rather than s. 191(3) is relevant to conversion of MURC to condo units, and its application turns on whether there is substantial renovation on a unit-by-unit basis | 485 |
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Residential Condominium Unit | residential condominium unit constituted once there is an intention to have a particular bounded space become a condominium unit | 199 |
10 May 2022 GST/HST Interpretation 234662 - Ability for a joint venture operator to credit GST/HST new housing rebates to purchasers of residential condominium units
Two affiliated companies (Companies X and Y) contributed lands (held by a nominee through a bare trust agreement) to a joint venture with an...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 273 - Subsection 273(1) | co-owner of condo development project could be appointed as JV operator to collect HST on condo sales and claim ITCs | 389 |
| Tax Topics - Excise Tax Act - Section 254 - Subsection 254(4) | operator with co-ownership interest in JV condo development lands could credit new housing rebate to purchasers | 333 |
Subparagraph (a)(iii)
Cases
1096288 Ontario Limited v. Canada, 2010 FCA 332
The appellant moved existing homes onto lots after putting in foundations, hooked the homes into services and sold the lots. In affirming the...
Paragraph (d)
Administrative Policy
25 March 2021 CBA Commodity Taxes Roundtable, Q.16
How do paras. (b) and (d) of the “builder” definition apply to a corporation that acquired one or more pre-build residential complexes that it...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Builder - Paragraph (h) | purchaser of in-construction apartment building for headleasing purposes is not a para. (b)(ii) builder | 166 |
GST/HST Notice 323, Proposed GST/HST Treatment of Assignment Sales, May 2022
Treatment of assignment sales (of an agreement with a builder for a new home) under pre-s. 192.1 rules (p. 1)
Under the current GST/HST rules, an...
Paragraph (f)
Cases
Wall v. Canada, 2021 FCA 132
The taxpayer purchased three homes in Vancouver in succession between 2004 and 2009, demolished each one, constructed a new house and sold it less...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 191 - Subsection 191(5) | exception in s. 191(5) not established | 250 |
| Tax Topics - Excise Tax Act - Schedules - Schedule V - Part I - Section 3 | residential use by the builder not established | 267 |
| Tax Topics - Income Tax Act - Section 9 - Capital Gain vs. Profit - Real Estate | three successive sales of newly-constructed homes over a period of under 5 years were made in the course of a business or adventures | 223 |
See Also
Simonetta v. The King, 2023 TCC 54 (Informal Procedure)
Ms. Simonetta acquired a new Toronto home in Toronto pursuant to a purchase agreement that specified that the purchase price included any...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 254 - Subsection 254(2) - Paragraph 254(2)(d) | sale occurred as an adventure in the nature of trade, so that HST-inclusive price included tax | 224 |
| Tax Topics - Excise Tax Act - Section 262 - Subsection 262(1) | need for builder-required particulars for the HST new housing rebate fell away if obtaining them was not feasible | 215 |
| Tax Topics - Excise Tax Act - Section 223 - Subsection 223(1) | price stated to include any HST included HST since the sale was taxable | 44 |
Abedipour v. The King, 2022 TCC 155
The taxpayer and her husband owned a home in Richmond Hill (Brillinger). In 2013, they bought an old home in Toronto (Balliol), tore it down, and...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 9 - Capital Gain vs. Profit - Real Estate | a house construction not being an adventure in the nature of trade was corroborated by its custom design features | 180 |
Libfeld v. The Queen, 2022 TCC 91 (Informal Procedure), aff'd 2023 FCA 235
Libfeld claimed the $24,000 Ontario new housing rebate on his purchase in 2018 of an unoccupied and sparsely-furnished home. He provided indirect...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 254 - Subsection 254(2) - Paragraph 254(2)(a) | new home purchaser bound by the vendor’s certification that it was an exempt sale | 254 |
| Tax Topics - Excise Tax Act - Section 223 - Subsection 223(1) | statement that purchase price included HST “if” subject to HST was not an HST-inclusive clause | 48 |
Wang v. The Queen, 2021 TCC 86 (Informal Procedure)
The taxpayer signed an agreement of purchase and sale (“APS”) on November 13, 2007, with a builder to purchase a townhouse under construction....
Swift v. The Queen, 2020 TCC 115
Over a 23-year period, the appellant, who through a wholly-owned company (“TSC”) carried on a small construction business, bought and sold...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 191 - Subsection 191(5) | application of the Coates test that a builder is not required to self-assess on building a home for his own occupation even where there may be a secondary resale intent | 400 |
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Business | “business” likely does not include an adventure | 176 |
Administrative Policy
1 June 2021 GST/HST Ruling 192033r2 - Assignment of an agreement of purchase and sale of a condominium unit
A non-resident individual (the “Assignor”) entered into an agreement to purchase a condo to be constructed in Canada by the vendor for...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 9 - Capital Gain vs. Profit - Real Estate | presumption that the flip of a new condo purchase agreement is a taxable supply | 319 |
10 January 2020 GST/HST Ruling 190414r - Assignment of a right to purchase a residential unit
A non-resident (the “Assignor”) entered into a purchase agreement for a to-be-constructed condo unit (the “Strata Lot”) with the asserted...
3 December 2021 GST/HST Ruling 193347r - Assignment of an agreement of purchase and sale of a condominium
A couple who had been unsuccessful in having a family notwithstanding aggressive fertility treatments decided to sell their current home with a...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Schedules - Schedule V - Part I - Section 2 | an assignment of a condo purchase agreement did not occur as part of an adventure in the nature of trade | 158 |
Paragraph (h)
Administrative Policy
25 March 2021 CBA Commodity Taxes Roundtable, Q.16
In response to a query as to the relationship between paras. (b) and (d) where a corporation acquired one or more pre-build residential complexes...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Builder - Paragraph (d) | agreeing to purchase a new apartment for the purpose of headleasing it renders the purchaser a builder for GST purposes | 436 |