The GST Rebate, or Goods and Services Tax Rebate, is a rebate offered by the Government of Canada for newly constructed or substantially renovated homes. It provides a partial refund of the Goods and Services Tax paid on the purchase price of the property. The amount of the rebate depends on the property’s purchase price and eligibility criteria set by the government.
When purchasing a new or substantially renovated home, it is common for the builder to factor in the GST Rebate into the purchase price. This means that the builder may offer a credit to the purchase price equivalent to the anticipated rebate amount. As the buyer, you will assign the rebate to the builder, and the builder will then collect the rebate directly from the Canada Revenue Agency (CRA).
