How to Apply for the HST Rental Rebate on a New Home in Canada
If you’ve recently purchased a brand-new home from a builder and leased it for residential purposes, you may be eligible for the HST New Residential Rental Property (NRRP) Rebate. This rebate can save you thousands of dollars, but the process requires careful attention to detail. Here’s a step-by-step guide to help you apply.
Step 1: Confirm Your Eligibility
Before you begin, ensure you meet the following criteria. You must be the first owner of the property, and the property must be leased for residential use. Additionally, the lease term should be for at least one year. These conditions are crucial to qualify for the rebate.
Step 2: Gather Necessary Documents
You’ll need to collect several documents to complete your application. First, have your Purchase Agreement, which is the contract between you and the builder. You’ll also need the Lease Agreement to prove the property is rented. Include Proof of Occupancy, such as utility bills or a signed lease, showing the tenant has moved in. Finally, ensure you have Proof of GST/HST Payment, which serves as evidence that you paid the GST/HST on the home’s purchase.
Step 3: Complete the Required Forms
To apply for the rebate, you’ll need to fill out two key forms:
Form GST524 - GST/HST New Residential Rental Property Rebate Application. This is the main application form for the rebate. You can download it from the CRA website
Form RC7524-ON - GST524 Ontario Rebate Schedule. If the property is located in Ontario, you’ll also need to complete this schedule.
Step 4: Fill Out the Forms
When filling out the forms, you’ll need to provide details such as the property address, purchase price, and date of occupancy. If applicable, include your GST/HST number. Be sure to double-check your calculations when determining the rebate amount to avoid any errors.
Step 5: Submit Your Application
Once the forms are complete, mail them along with all supporting documents to the appropriate tax center. The correct mailing address is usually listed on the form. If you’re unsure about where to send your application, check the CRA website or contact their helpline for assistance.
Step 6: Wait for Processing
The CRA typically takes several weeks to process applications. During this time, they may request additional documentation or clarification, so be prepared to provide further information if needed.
Step 7: Receive Your Rebate
After your application is approved, you’ll receive your rebate via direct deposit or cheque. Keep an eye on your bank account or mailbox for the funds.
Step 8: Follow Up if Necessary
If you haven’t received a response within the expected timeframe, don’t hesitate to contact the CRA to inquire about the status of your application. They can provide updates and address any issues with your submission.
Applying for the HST NRRP Rebate can feel overwhelming, but it’s worth the effort to claim the savings. If you’re unsure about any part of the process, call us!
Don’t leave money on the table—take advantage of this valuable rebate today!
