OHST (Ontario HST) for new homes

[sdholakia]

I have purchased 2 new Townhomes from a builder in Stouffville, ON. The properties will be completed April 2012.

The builder`s price includes the HST, but not the eligible rebate. As a landlord-purchaser I will not qualify to assign the rebate to the builder, and hence must pay him the rebate portion over and above the sale price.

I need expert opinion on:

[list type=decimal][*]On a sale price of $310,000, in the above scenario, how much would the additional price to the builder be?[*]How much of this additional cost will I be able to recover as a refund - NRRP rebate (New Residential Rental Property)?I live in Richmond Hill. Any suggestions for a good real estate accountant in the area, who also invests in real estate?[/list type=decimal]
Thanks.

SD

 

[yellowsugga]

I`m also interested in this as I have 2 condos being completed in 2012. As of now, no one really has been able to tell us exactly what the situation is either. However, we have been told that the new regulations should make it comparable to what the situation was before without the HST. I am hesitant to believe this without having some kind of proof.

 

[George]

Good evening,

There are many variables in the GST/HST calculations. One good source of information is the following guide from Canada Revenue Agency:

GST/HST New Residential Rental Property Rebate
http://www.cra-arc.gc.ca/E/pub/gp/rc4231/rc4231-e.html

The guide provides information and links to forms related to the GST rebate, HST rebate, provincial transitional rebates, including the most recent changes for Ontario and British Columbia.

If you`re looking for additional advice on GST/HST matters, you can contact Joseph Martins of our office, who works with many of our real estate clients on the rebates.