1% AND 2% TRANSITIONAL GST REBATE
Effective January 1, 2008, the GST
rate is reduced from 6% to 5%, and the HST rate from 14% to 13%. On July 1, 2006, the GST rate
was reduced from 7% to 6%, and the HST rate from 15% to 14%. A GST/HST
transitional rebate gives the benefit of the reduction in the tax rates to
purchasers of housing under certain conditions.
A GST/HST transitional
rebate can apply in the two following situations:
Situation 1: You
purchased new housing (building and land together).
Situation 2: You
purchased new housing and leased the land from the same builder.
Can I claim a GST/HST transitional rebate?
You can claim a
GST/HST transitional rebate if A or B, below, applies:
Situation 1: Purchase
of new housing (building and land)
Situation 2: Purchase
of new housing and lease of the land from the same builder
What documents do I have to send with this
rebate application?
The processing of your
claim may be delayed or your rebate denied if this form is not completed in
full or if you have not attached the requested documents.
If you are entitled to
claim a public service bodies' rebate, send us a copy of your purchase and sale
agreement and the statement of adjustments.
If you are not
entitled to claim any other GST/HST rebate for your purchase of the new
housing, send a copy of your purchase and sale agreement and your statement of
adjustments. If you are entitled to claim a GST/HST new housing rebate, send a
copy of your purchase and sale agreement, statement of adjustments, and a copy
of your new housing rebate application, Form GST190, GST/HST New Housing Rebate
Application for Houses Purchased from a Builder. Your builder may have paid or
credited you with your new housing rebate. If so, send a copy of the new
housing rebate application that you signed and gave to the builder. If you are
entitled to claim the new residential rental property rebate, send a copy of
your purchase and sale agreement, statement of adjustments, and a copy of your
application for the rental rebate, Form GST524, GST/HST New Residential Rental
Property Rebate Application. If you had to complete Form GST525, Supplement to
the New Residential Rental Property Rebate – Multiple Units, send us a copy of
that form as well.
Click the following
link for a copy of the forms: http://www.cra-arc.gc.ca/E/pbg/gf/gst193/gst193-08e.pdf
by Ryan Carson