If you have purchased a newly constructed residential unit from a builder that you intend to use for residential purposes for yourself or a family member for a period of one year, or intend to lease it out for residential purposes for a period of one year, then you are entitled to reclaim a portion of the GST/ HST that you paid on the purchase of the unit.
This claim may be made after the GST/ HST becomes payable.
The rebate is equal to 75% of the provincial part of the HST paid, up to a maximum rebate of $24,000 per qualifying unit. (Rebate of the federal part of the HST paid is available only if the purchase price of the qualifying unit is less than $450,000).
If you sell the unit before 1 year, the GST/ HST becomes repayable to the CRA, unless the unit is sold to an individual who uses it as their primary place of residence.
The content of this article is intended to provide a general guide on the subject matter. It is not intended to replace professional advice. Specialist advice should be sought about your specific circumstances.