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info@betataxes.com
Inquire about Tax Services:
+1 647 876 2233
17 March 2026
6 min read mins read 
0 Comments Buying a new house or condo in Ontario often includes GST/HST, but many buyers may qualify for significant tax rebates. Understanding which rebate applies can save thousands of dollars.
With Bill C-4 receiving Royal Assent in March 2026, there are now three key rebate routes buyers should understand:
Each rebate has different eligibility rules, property use requirements, and forms.
Quick takeaway:
If the property is for your primary residence, the owner rebate usually applies.
If the property will be used for long-term rental, the rental rebate generally applies.
If you are an eligible first-time home buyer, the new federal rebate may also apply on the owner-occupied side.
|
Rebate |
Who it is for |
Property Use |
Main Form |
Maximum Amount |
Important Point |
|
Regular Owner Rebate |
Buyer of a new or substantially renovated home |
Primary residence for buyer or relation |
GST190 |
Federal up to $6,300 + Ontario up to $24,000 |
Does not need to be the buyer’s first home |
|
Rental Rebate (NRRP) |
Buyer or landlord of new residential rental property |
Long-term residential rental |
GST524 + RC7524-ON |
Federal up to $6,300 + Ontario up to $24,000 |
Used when property is purchased for rental |
|
First-Time Home Buyers’ GST/HST Rebate |
Eligible first-time home buyer |
Primary residence |
GST190 |
Federal relief up to $50,000 |
Introduced under Bill C-4 |
The GST/HST New Housing Rebate, commonly called the Owner Rebate, generally applies when a person purchases:
● A new house
● A new condo
● A duplex
● A substantially renovated home
The key requirement is that the property must be used as the primary residence of the buyer or a relation.
For homes purchased from a builder, the primary CRA form used is:
Form GST190
In Ontario, the owner rebate may include both:
● Federal rebate (up to $6,300)
● Ontario provincial rebate (up to $24,000)
Many people believe this rebate is only for first-time buyers, but that is not correct.
The regular owner rebate is based on how the property is used, not whether the buyer has owned a home before.
The GST/HST New Residential Rental Property Rebate (NRRP) generally applies when a new residential property is purchased for long-term rental instead of personal residence.
Typical examples include:
● Buying a condo to rent to tenants
● Purchasing a newly built duplex for rental income
● Acquiring new residential units intended for leasing
The main CRA forms are:
● GST524 – New Residential Rental Property Rebate
● RC7524-ON – Ontario provincial rental schedule
Under federal NRRP rules:
● The fair market value must normally be under $450,000 when tax becomes payable.
However, Ontario may still provide the provincial NRRP rebate even if the federal rebate does not apply because the property value exceeds $450,000.
A newer federal rebate has been introduced for eligible first-time home buyers.
According to the Department of Finance Canada, this rebate can provide up to $50,000 in relief on the GST or federal portion of the HST.
This rebate:
● Applies to qualifying builder purchase agreements
● Must be entered on or after March 20, 2025
● Applies to homes meeting the required construction timelines
● Uses the same GST190 form when buying from a builder
This rebate is federal and not a rental property rebate. It is also separate from the Ontario new housing rebate.
No.
These two rebates are completely different programs.
|
Rebate |
Type |
Maximum |
|
Ontario New Housing Rebate |
Provincial |
Up to $24,000 |
|
First-Time Home Buyer GST/HST Rebate |
Federal |
Up to $50,000 |
In some situations, an eligible Ontario buyer may benefit from both rebates, depending on the facts of the purchase.
Here is a simplified form guide:
|
Situation |
Form |
|
New home bought from a builder and used as primary residence |
GST190 |
|
New home bought from a builder and qualifying for first-time buyer rebate |
GST190 |
|
New property bought for long-term residential rental |
GST524 + RC7524-ON |
|
Owner-built rental property or major additions |
GST191 + RC7191-ON |
So yes, GST190 is the main form used for both the regular owner rebate and the first-time home buyer rebate when purchasing from a builder.
In many cases, the rebate is credited directly at closing.
The process usually works like this:
If the property is actually intended for long-term rental, the correct rebate route is usually GST524, not the owner rebate.
Using the wrong route can create compliance issues later
|
Question |
Owner Rebate |
Rental Rebate |
First-Time Buyer Rebate |
|
Is the property the buyer’s primary residence? |
Yes |
No |
Yes |
|
Is the property used for long-term rental? |
No |
Yes |
No |
|
Does it need to be the buyer’s first home? |
No |
No |
Yes |
|
Is GST190 normally used? |
Yes |
No |
Yes |
|
Is GST524 normally used? |
No |
Yes |
No |
No. The owner rebate is based on primary residence use, not whether the buyer previously owned a home.
Potentially yes. The Ontario rebate is provincial, while the first-time buyer rebate is federal.
This is where issues often arise. If the property is actually used for long-term rental, the rental rebate route is generally more appropriate.
Yes. For homes purchased from a builder, GST190 is the main form used for both rebates.
The usual forms are:
Navigating GST/HST rebates can be complicated, especially when property use or eligibility rules are unclear.
Beta Taxes CPA can help by:
If you need assistance reviewing a new-home rebate situation, Beta Taxes CPA can analyze the purchase details and identify the correct GST/HST rebate route.
