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The Ontario Ministry of Revenue has released their
Information Notice No. 4 entitled: Additional Information for Homebuyers and
the Housing Industry under Ontario HST.
This notice contains information on the New Housing rebates
for special circumstances such as housing on leased land, rental housing, and
rebates for purchases of mobile or floating homes.
The notice also defines the Floor Space Method of calculating
the Transitional Rebate as $45.00 per square meter multiplied by the percentage
of completion factor. The factors are the same as were used with the 2 percent
of Selling Price Method of determining the rebate.
The Transitional Rebate will be available by submitting an
application to the Canada Revenue Agency along with a certificate or letter from
the Ministry of Revenue Ontario indicating that the applicant has no outstanding
provincial debts. The rebates may be applied for any time after July 1, 2010
and before July 1, 2014. Applications where the Floor Space Method is used can
be filed anytime after July 1, 2010, however, applications where the Selling
Price Method is used can not be filed until the HST becomes payable, which is
usually on closing.
The
following table provides a comparison between the two methods of calculating the
rebate:
HST
Transitional Rebate Method of Calculation Comparison |
|
$45.00 per Square
Meter Method |
|
Area |
|
Percentage completion |
|
|
|
|
|
SQ
Ft |
Sq
M |
<
10% |
10% - 25% |
25% - 50% |
50% - 75% |
75% - 90% |
>
90% |
|
|
0.0929
|
0.00% |
25.00% |
50.00% |
75.00% |
90.00% |
100.00% |
|
|
|
|
|
|
|
|
|
|
1500 |
139.35
|
-
|
1,567.69
|
3,135.38
|
4,703.06
|
5,643.68
|
6,270.75
|
|
1600 |
148.64
|
-
|
1,672.20
|
3,344.40
|
5,016.60
|
6,019.92
|
6,688.80
|
|
1700 |
157.93
|
-
|
1,776.71
|
3,553.43
|
5,330.14
|
6,396.17
|
7,106.85
|
|
1800 |
167.22
|
-
|
1,881.23
|
3,762.45
|
5,643.68
|
6,772.41
|
7,524.90
|
|
1900 |
176.51
|
-
|
1,985.74
|
3,971.48
|
5,957.21
|
7,148.66
|
7,942.95
|
|
2000 |
185.80
|
-
|
2,090.25
|
4,180.50
|
6,270.75
|
7,524.90
|
8,361.00
|
|
2100 |
195.09
|
-
|
2,194.76
|
4,389.53
|
6,584.29
|
7,901.15
|
8,779.05
|
|
2200 |
204.38
|
-
|
2,299.28
|
4,598.55
|
6,897.83
|
8,277.39
|
9,197.10
|
|
2300 |
213.67
|
-
|
2,403.79
|
4,807.58
|
7,211.36
|
8,653.64
|
9,615.15
|
|
2400 |
222.96
|
-
|
2,508.30
|
5,016.60
|
7,524.90
|
9,029.88
|
10,033.20
|
|
2500 |
232.25
|
-
|
2,612.81
|
5,225.63
|
7,838.44
|
9,406.13
|
10,451.25
|
|
2600 |
241.54
|
-
|
2,717.33
|
5,434.65
|
8,151.98
|
9,782.37
|
10,869.30
|
|
2700 |
250.83
|
-
|
2,821.84
|
5,643.68
|
8,465.51
|
10,158.62
|
11,287.35
|
|
2800 |
260.12
|
-
|
2,926.35
|
5,852.70
|
8,779.05
|
10,534.86
|
11,705.40
|
|
2900 |
269.41
|
-
|
3,030.86
|
6,061.73
|
9,092.59
|
10,911.11
|
12,123.45
|
|
3000 |
278.70
|
-
|
3,135.38
|
6,270.75
|
9,406.13
|
11,287.35
|
12,541.50
|
|
|
|
|
|
|
|
|
|
|
2% of Selling Price
Method |
|
|
|
Percentage completion |
|
|
|
|
|
|
|
<
10% |
10% - 25% |
25% - 50% |
50% - 75% |
75% - 90% |
>
90% |
|
|
Selling Price |
0.00% |
25.00% |
50.00% |
75.00% |
90.00% |
100.00% |
|
|
|
|
|
|
|
|
|
|
|
200,000
|
-
|
1,000.00
|
2,000.00
|
3,000.00
|
3,600.00
|
4,000.00
|
|
|
250,000
|
-
|
1,250.00
|
2,500.00
|
3,750.00
|
4,500.00
|
5,000.00
|
|
|
300,000
|
-
|
1,500.00
|
3,000.00
|
4,500.00
|
5,400.00
|
6,000.00
|
|
|
350,000
|
-
|
1,750.00
|
3,500.00
|
5,250.00
|
6,300.00
|
7,000.00
|
|
|
400,000
|
-
|
2,000.00
|
4,000.00
|
6,000.00
|
7,200.00
|
8,000.00
|
|
|
450,000
|
-
|
2,250.00
|
4,500.00
|
6,750.00
|
8,100.00
|
9,000.00
|
|
|
500,000
|
-
|
2,500.00
|
5,000.00
|
7,500.00
|
9,000.00
|
10,000.00
|
|
|
550,000
|
-
|
2,750.00
|
5,500.00
|
8,250.00
|
9,900.00
|
11,000.00
|
|
|
600,000
|
-
|
3,000.00
|
6,000.00
|
9,000.00
|
10,800.00
|
12,000.00
|
|
|
650,000
|
-
|
3,250.00
|
6,500.00
|
9,750.00
|
11,700.00
|
13,000.00
|
|
|
700,000
|
-
|
3,500.00
|
7,000.00
|
10,500.00
|
12,600.00
|
14,000.00
|
|
|
750,000
|
-
|
3,750.00
|
7,500.00
|
11,250.00
|
13,500.00
|
15,000.00
|
|
|
800,000
|
-
|
4,000.00
|
8,000.00
|
12,000.00
|
14,400.00
|
16,000.00
|
|
|
850,000
|
-
|
4,250.00
|
8,500.00
|
12,750.00
|
15,300.00
|
17,000.00
|
|
|
900,000
|
-
|
4,500.00
|
9,000.00
|
13,500.00
|
16,200.00
|
18,000.00
|
Please
click on "(HST) Harmonized Sales Tax" for more
information.
(HST)
Harmonized Sales Tax
|
