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HST Fact Summary Sheet

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  • Starts July 01, 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 closing after July 1st (see #5 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 the purchase of newly constructed houses and condominiums when the closing occurs after July 1, 2010 (see #8 and #9 below).
  • 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 signed 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 purchase 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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