Eligible first-time buyers of a new or substantially renovated Ontario home may qualify for federal and Ontario GST/HST relief; the amount, agreement date, price and application route all matter.
Four points to remember
- This rebate applies to qualifying new or substantially renovated homes—not ordinary resale homes.
- The federal and Ontario portions have separate amounts but coordinated eligibility and forms.
- Price, agreement date, construction timing, occupancy and first-time-buyer status must all be checked.
- The HST rebate is different from Ontario and Toronto land transfer tax rebates.
Understand what the rebate covers
The first-time home buyers’ GST/HST rebate can return some or all of the federal GST portion and, for eligible Ontario purchases, provincial HST relief. It is designed for qualifying first homes that are newly built, substantially renovated or owner-built and used as a primary residence.
- New home purchased from a builder
- Qualifying substantially renovated home
- Owner-built qualifying first home
Check the price and timing rules
A headline maximum is not an automatic entitlement. The purchase price affects whether the rebate is full, reduced or unavailable, while the agreement, construction and occupancy dates determine which program rules apply.
- Confirm the agreement-of-purchase date
- Confirm the home value used for the rebate
- Keep builder statements and closing adjustments
Do not confuse three different rebates
New-home GST/HST relief, the Ontario land transfer tax refund and the Toronto municipal land transfer tax rebate are different programs. A buyer may qualify for more than one, but the eligibility tests, forms and timing are not interchangeable.
- GST/HST: tax on qualifying new housing
- Ontario LTT: provincial land transfer tax
- Toronto MLTT: separate municipal land transfer tax
Build the rebate into a safe closing plan
Ask the builder and closing lawyer whether the rebate is credited on closing or claimed afterward. Do not spend a projected refund before confirming the form, assignment, supporting documents and cash required on the actual closing statement.
- Request a written rebate breakdown
- Confirm who files each form
- Keep cash available if the credit is delayed
Frequently asked questions
Can a resale-home buyer claim this HST rebate?
Normally no. The first-time-buyer GST/HST rebate is aimed at qualifying new, substantially renovated or owner-built homes, subject to the detailed rules.
Is the $130,000 amount guaranteed?
No. It is a maximum combined headline amount for eligible Ontario situations; the actual rebate depends on price, timing, eligibility and how the transaction is structured.
Can I also receive land transfer tax rebates?
Possibly. They are separate programs, so eligibility for each must be checked independently with the lawyer handling the purchase.
Official sources and verification
This guide prioritizes primary information from governments, regulators and CMHC. Mortgage policies change; confirm the rules that apply when you apply.
This guide and its calculators are for general education only—not an approval, commitment, or legal, tax or investment advice. Actual rates, fees, underwriting and product terms vary by lender and application.