Quote:
Originally Posted by Yume-sama
Well, unless the government is going to give people 7% of the value of their existing home when they go to buy a new home... they shouldn't be charging it on new homes.
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The HST credit is the provincial portion of the HST. It applies to the cost new homes (and significantly renovated homes) up to 525,000. the provincial potion is 7% and the credit is 71.43% up to $26,250.
There is no federal G/HST rebate on new homes more than $450,000
therefore, if your new home costs $700,000, you pay (700,000 x .12 - 26,250) $57,750 in HST. Before, you would of paid $35,000. All this will be on the statement of adjustments when you complete
There are transitions rules which can get complicated especially if the building is still being built at July 1 2010.