Starts July 1, 2010
HST is 13% = 5% GST + 8% Provincial Sales Tax
No HST on residential re-sale transactions except for tax on commission payable by the seller on closings after July 1st (see below)
No HST on residential rents
HST on commission payable by the seller on sales (re-sale transactions) being completed after July 1st except where the agreement of purchase and sale was firm and binding prior to July 1st – then no HST (GST still payable) – more specifically, this rule would apply where at least 90% of the agent’s services on the transaction have been completed prior to July 1st, notwithstanding the closing occurring after July 1st.
Generally HST will apply to commercial real estate transactions – purchases and leases
For newly constructed houses/condominiums, No HST (GST will still apply) if the agreement of purchase and sale was assigned on or before June 18, 2009
For newly constructed houses/condominiums where the agreement of purchase and sale was signed after June 18, 2009, No HST (GST still applies) on purchases having a price not exceeding $400,000.00
There is a $24,000.00 rebate on all newly constructed houses/condominiums – there is a graduated tax on purchase prices of between $400,000.00 to $500,000.00; the full HST payable on that portion of the purchase price over $500,000.00
On newly constructed condominiums – No HST when interim occupancy closing occurs prior to July 1st notwithstanding the final closing occurring after July 1st.
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