BC HST grant for owner-built secondary or residential properties
ADVICE Author: Caroline Lennox
Recently I wrote to the Ministry of Finance to ask how the recent changes in HST to include secondary and recreational residences work when a person builds on their own lot, or buys a vacant lot and then builds on it.
Here's an excerpt from their reply. For more details, please visit my website blog entry and if you have any questions, call/text me at 250-415-9555 or 800-757-0412
"For owner-built secondary or recreational residences, the grant is an amount equal to 71.43% of the provincial portion of the HST, paid on land, labour and materials used to construct the home up to a maximum of $42,500. Therefore, if a purchaser pays HST on land and then constructs a secondary and recreational residence on the lot, they will be eligible for a grant equal to 71.43% of the provincial portion of the HST paid on the lot and the labour and materials used to construct the home provided the home is substantially completed on or after April 1, 2012 and the person applies for the grant within six months of substantial completion of the home and prior to October 1, 2013. The grant will result in eligible persons getting an amount equal to 71.43% or 5/7th of the HST back (up to a maximum of $42,500) and as such will have effectively paid a net 2% provincial portion of the HST. "
Are you ready to get started? Contact Caroline for a free consultation!
Errors & Omissions Excluded
On Approved Credit
Contact Information | Invis - Canada's Mortgage Experts
|Company:||Invis - Canada's Mortgage Experts|