New Residential Property Rebate
The new residential rental property rebate (NRRPR) related to a property in Ontario can be worth as much as $24,000 to the builder.
To be eligible for a rebate there must be an:
Eligible Rental Property
• Detached or semidetached single unit house
• Condominium unit
• A unit in a coop housing corporation
• A mobile home
• A floating home
• purchased newly constructed or substantially renovated housing from a builder;
• constructed, or hired someone else to build, housing or an addition to housing;
• substantially renovated, or hired someone else to substantially renovate, housing;
• converted a non-residential property into housing; or
• made an exempt lease or sublease of land to another person.
When you buy a new rental property in Ontario:
When purchasing a property for rental purposes, you cannot assign the rebate to the builder and must file the rebate for directly with CRA. This does mean the additional upfront cash outlay of HST and waiting for rebate from CRA. Consideration should be given to such cash flow implications.
Filing deadline and time to process:
Depending on the specific type of rebate being applied for, the timing for filing can vary, but is generally a two year period starting from the date of the sale closing. The form to be submitted is GST524 and the associated forms noted therein. Generally, it takes CRA approximately two months to provide the rebate however this period can be longer if additional questions arise from CRA.