HST Rebate – New Home/Condominium Purchased From Builders

HST REBATE  – New Home/Condominium purchased from Builders (not resales and not commercial properties) It is always important to review and understand your Agreement of Purchase and Sale. Unless it otherwise provides, if you entered into an Agreement of Purchase and Sale after June 18, 2009, and which in fact closes on or after July 1, 2010, you will be responsible for the HST, net of the GST/HST rebate, if any, if you qualify. If you (and others, all being individuals) are purchasing a newly constructed home or condominium unit from a builder with the intent that it will be occupied as your and their primary place of residence, or the primary place of residence of your or their “relation” (being limited … Read More

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Non-Residents Sale of Real Estate in Ontario Canada

If a seller of real property is a non-resident of Canada, section 116 of the Income Tax Act obligates the buyer to hold back and to pay to the CRA (within 30 days after the end of the month in which the closing occurs) 25% of the sale price unless the seller has applied for, obtained and delivered to the buyer a clearance certificate from Canada Revenue Agency certifying that the seller has paid any income tax payable or that he has made arrangements with the CRA to do so. This obligation is not optional – it’s mandatory. If the buyer fails to hold back and to pay 25% of the sale price as aforementioned, the CRA will pursue the buyer … Read More

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