New Housing Rebates for Homes Purchased from a Builder

If you’ve purchased a new or substantially renovated home from a builder, you may be eligible for a GST/HST New Housing Rebate. This includes:

  • A newly built house or condo (with land)

  • A mobile or floating home

  • A co-operative housing unit (via capital stock)

  • A new home with leased land from the builder for 20+ years or with a purchase option


🔑 Key Note: If the agreement was assigned to you, GST/HST might be payable to both the builder and assignor. Refer to CRA Info Sheet GI-120 for assignment-related details.


Provincial Rebates

Nova Scotia:

  • Nova Scotia First-Time Home Buyers Rebate is available for eligible homes located in the province.

  • 📝 Note: This is handled by the Province of Nova Scotia, not CRA.


Ontario:

  • Even homes above the price threshold may qualify.

  • You’re eligible if the home is your (or a relative’s) primary residence and you:

    • Qualify for the federal rebate, or

    • Are only ineligible due to price limits

  • 💰 Maximum Rebate: $24,000


Required Forms for Rebates

  1. Form RC7190-WS: GST190 Calculation Worksheet (for federal rebate calculation; not submitted, but kept for audit)

  2. Form GST190: Main application for federal and Ontario rebates

  3. Form RC7190-ON: Ontario Rebate Schedule (if applicable)


If Builder Pays or Credits the Rebate

Builders may reduce the home price by crediting you the rebate amount upfront.


✅ Requirements:

  • You and the builder agree in writing

  • You still need to fill out the forms (GST190 and possibly RC7190-ON)

  • Builder submits these forms to CRA, not you

⚠️ Assignors cannot credit the rebate—even if they qualify as a builder for tax purposes.


Where to Send Applications (if builder doesn’t apply on your behalf)


  • Ontario regions like Toronto, Barrie, Sudbury:
    🏢 Sudbury Tax Centre
    1050 Notre Dame Ave, Sudbury, ON P3A 5C1

  • All other regions in Canada:
    🏢 PEI Tax Centre
    275 Pope Rd, Summerside, PE C1N 6A2


For Builders


Builders filing Type 1A or 1B rebate applications must:

  • Submit electronically via CRA portals if required by law

  • Ensure buyers meet all eligibility criteria (e.g., primary residence, price under $450,000)

🔒 Important: Builders must not confuse rebate submission deadlines with other filing deadlines (e.g., ITCs or GST returns).


Document Retention & Proof


You must:

  • Keep copies of all submitted forms and calculation sheets

  • Maintain originals (e.g., sale agreement) for six years

  • Provide proof of occupancy only if CRA requests it


Summary

The GST/HST New Housing Rebate is a valuable benefit for homebuyers across Canada—but knowing which forms to submit, when to involve your builder, and how to comply with CRA requirements is crucial. Whether applying directly or through your builder, keeping detailed records and understanding your eligibility is key.

For official CRA information and downloadable forms, visit:
👉 CRA’s New Housing Rebate Guide (RC4028)



Understanding GST/HST Rebate Application Types (Form GST190)


If you're buying a newly built or significantly renovated home in Canada, you may be eligible for a GST/HST New Housing Rebate. To claim it, you need to choose the right application type on Form GST190—this depends on how you acquired the property and whether your builder already credited the rebate.


🔹 Application Type 1A: Builder Gave You the Rebate (House & Land)

Choose 1A if you purchased both the house and the land from a builder under a single agreement, and the builder already credited the GST/HST rebate to you. This is common in new subdivisions or condo sales, where the purchase price is reduced upfront by the expected rebate.

  • ✅ You must use the property as your primary place of residence.

  • 💲 The purchase price must generally be under $450,000 to qualify for the full federal rebate.

  • 🏢 The builder handles the rebate paperwork—you do not submit the form yourself.


🔹 Application Type 1B: Builder Gave You the Rebate (House Only – You Lease the Land)

Choose 1B if you bought a new house from a builder but leased the land it sits on, and the builder gave you the rebate upfront.

This often applies to modular or manufactured homes on leased land, or housing in some retirement communities.

  • Same eligibility rules as 1A apply.

  • You do not submit the application—the builder does.


🔹 Application Type 2: You Bought the Home but the Builder Did Not Credit You the Rebate

Choose Type 2 if you bought a new home (with land) from a builder but they did not credit the GST/HST rebate to you at the time of purchase. In this case, you apply directly to the CRA for your rebate.

You’ll need to complete Form GST190 and attach supporting documents such as:

  • Purchase and sale agreement

  • Statement of Adjustments

  • Proof of occupancy


🔹 Application Type 5: You Bought a New Home but Are Leasing the Land, and Builder Didn’t Handle the Rebate

Choose Type 5 if you purchased a new or significantly renovated house and are leasing the land, but the builder didn’t credit the rebate.

This is similar to 1B but in this case, the builder did not take care of the rebate paperwork, so you must apply yourself.


🔹 Application Type 3: Co-op Share Purchase

Use Type 3 if you bought a share in a housing co-operative that entitles you to live in a housing unit as your primary residence. Since you’re not purchasing the unit itself but rather a share, this falls under a different structure and rebate eligibility.

To apply:

  • You must submit Form GST190 yourself.

  • Include documents like the agreement to purchase the co-op share and proof of occupancy.


🗂️ Documentation You'll Need (for Types 2, 3, or 5)

If you're submitting the application yourself, gather the following:

  • Form GST190 completed with the right application type

  • Form RC7190-ON (for Ontario New Housing Rebate, if applicable)

  • Purchase agreement, statement of adjustments, and occupancy documents

  • Assignment agreement (if applicable)


Deadline

For all application types (except 1A/1B where the builder applies), you must submit your rebate application within 2 years of:

  • The date you take possession (in most cases), or

  • The date of closing or transfer of ownership


Final Thoughts

Choosing the right application type ensures your rebate is processed efficiently. If your builder handled the rebate, you’re likely covered under Type 1A or 1B. But if not, be sure to file the correct form on time to get your money back.

Even if your home doesn’t qualify for the full federal rebate due to value limits, you may still be eligible for a provincial rebate—like Ontario’s HST rebate—for higher-priced homes.


For more details, refer directly to CRA’s guide:
👉 CRA GST190 – New Housing Rebate Application