GST and QST Rebate for Owners of New or Substantially Renovated Housing
The GST and QST apply to the sale of:
- new residential complexes;
- substantially renovated residential complexes;
- construction materials;
- construction services; and
- land, in certain cases.
As an individual, you may, under certain conditions, be entitled to a rebate (partial refund) of the GST and QST you paid in the following situations:
Eligibility
You purchased a new or substantially renovated residential unit (and the land on which it is located) from a builder
To be eligible for a GST and QST rebate for the purchase of a new or substantially renovated residential unit (and the land on which it is located) from a builder, the following conditions must be met:
- You and any co-owners are individuals.
- The unit is a single-unit residential complex, a mobile home or a residential unit held in co-ownership.
- You purchased the unit and the land at the same time, from the same builder, under a single sales contract.
- You or a co-owner paid GST and QST on the purchase of the residential complex.
- The construction or renovation work was at least 90% completed when ownership of the unit was transferred to you or a co-owner.
- When the work was completed, you, a relation, a co-owner or their relation was the first occupant of the unit.
- The unit is your primary place of residence or that of a relation, or the primary place of residence of a co-owner or their relation.
- The purchase price of the unit and the land was under $450,000 for GST purposes and under $300,000 for QST purposes.
You built a residential unit or hired someone to do so.
To be entitled to a rebate (partial refund) of the GST and QST when you build a residential unit or hire someone to build one, all the following conditions must be met:
- You and any co-owners are individuals.
- The unit is a single-unit residential complex, a mobile home or a residential unit held in co-ownership.
- You or a co-owner owned or rented the land before construction began.
- You or a co-owner paid GST and QST on the construction of the residential complex.
- You, a relation, a co-owner or their relation was the first occupant of the unit after construction began.
- The unit is your primary place of residence or that of a relation, or the primary place of residence of a co-owner or their relation.
- The fair market value (FMV) of the unit and the land is under $450,000 for GST purposes and under $300,000 for QST purposes when construction is 90% completed.
You substantially renovated your residential unit or hired someone to do so.
To be entitled to a rebate (partial refund) of the GST and QST for substantial renovation work you did (or hired someone to do) on a residential unit, all the following conditions must be met:
- You and any co-owners are individuals.
- The unit is a single-unit residential complex, a mobile home or a residential unit held in co-ownership.
- You paid the GST and QST on the renovation work done on the residential complex.
- You, a relation, a co-owner or their relation was the first occupant of the unit after renovations began.
- The unit is your primary place of residence or that of a relation, or the primary place of residence of a co-owner or their relation.
- The fair market value (FMV) of the unit and the land is under $450,000 for GST purposes and under $300,000 for QST purposes when the renovation is 90% completed
If you, a relation, a co-owner or their relation lived in the unit while the work was going on, expenses incurred more than two years after the day the unit was first occupied after the work began do not give entitlement to the rebate.
Maximum rebate
The rebate can reach up to 36% of the GST paid and up to 50% of the QST paid, for a maximum GST rebate of $6,300 and a maximum QST rebate of $9,975.
The amount of the rebate is progressively reduced when the purchase price or fair market value (FMV) of the land and the new or substantially renovated residential unit is more than $350,000 for GST purposes and $200,000 for QST purposes.
There is no rebate once the purchase price or FMV reaches $450,000 for GST purposes or $300,000 for QST purposes.
You can use our online estimator to determine the fair market value of residential rental property or housing and to estimate your tax rebates.
Rebate application deadline
Your application must be filed no later than two years after the earliest of the following dates:
- the date that you became owner of the single-unit residential complex, mobile home or residential unit held in co-ownership;
- the date that the renovation work was 90% completed;
- the date that is two years after the date that you, a relation, a co-owner or their relation first occupied the unit after the work began;
- the date that ownership was transferred to another person (ownership must be transferred before the unit is occupied).
Form to file
To apply for a tax rebate, you or a co-owner must use the form below best suited to your situation:
- GST-QST New Housing Rebate Application for a New Home Purchased from a Builder (FP-2190.AC-V);
- GST-QST New Housing Rebate Application: Owner of a New or Substantially Modified Home (FP-2190.P-V).
- You or the builder can file the rebate application with Revenu Québec. If the builder does so, they must pay or credit the rebate directly to you.
- Only one rebate application can be filed for all the construction work for a single residential complex.
- If there is more than one owner, only one co-owner can submit a rebate application to Revenu Québec.