New Home Hst Rebate Calculator Ontario

When you buy a new home in Ontario, you may qualify for an HST rebate. This calculator helps you determine how much you can claim back. The Ontario government offers this rebate to encourage homeownership and reduce the financial burden of new home purchases.

How the HST Rebate Works

The HST rebate program provides a refund of the HST portion of your home purchase price. The amount you qualify for depends on your income and the price of the home you're buying.

Here's how it works:

Calculate the HST portion of your home purchase price
Determine your eligibility based on income thresholds
Submit your application with the required documentation
Receive your rebate payment

Important Note

The HST rebate is not a loan or grant. It's a refund of taxes you've already paid. You must repay the rebate if you sell your home within 10 years of purchase.

Eligible Purchases

To qualify for the HST rebate, your home must meet certain criteria:

Be a new home (not a resale)
Be your primary residence
Be located in Ontario
Meet minimum price requirements (varies by municipality)

There are different rebate amounts based on the price of your home:

Home Price	Rebate Percentage	Maximum Rebate
$500,000 - $550,000	10%	$5,000
$550,001 - $600,000	7.5%	$4,500
$600,001 - $650,000	5%	$3,250
Over $650,000	2.5%	$16,250

Calculation Method

The HST rebate amount is calculated using the following formula:

Formula

Rebate Amount = (Home Price × Rebate Percentage) ÷ 100

Maximum Rebate = Minimum of (Rebate Amount, Maximum Rebate for Price Range)

The rebate percentage decreases as home prices increase, with a maximum rebate cap for each price range.

Example Calculation

Let's say you're buying a home for $575,000 in Ontario. Here's how to calculate your HST rebate:

Determine the rebate percentage: $575,000 falls in the $550,001 - $600,000 range, which has a 7.5% rebate rate.
Calculate the rebate amount: (575,000 × 7.5) ÷ 100 = $43,125
Check the maximum rebate for this price range: $4,500
Your final rebate amount is the smaller of $43,125 or $4,500, which is $4,500.

Example Result

For a $575,000 home purchase, you would qualify for a $4,500 HST rebate.

Frequently Asked Questions

How do I apply for the HST rebate?

You can apply online through the Ontario government's website or by mail. You'll need to provide proof of purchase, income verification, and other required documents.

When will I receive my rebate?

Rebate payments are typically processed within 6-8 weeks after your application is approved. The exact timing may vary depending on your municipality.

What happens if I sell my home within 10 years?

If you sell your home within 10 years of purchase, you must repay the rebate amount. The repayment is calculated based on the difference between the sale price and your original purchase price.