How to Claim the GST/HST New Housing Rebate for a New or Substantially Renovated Home

Who can claim the GST/HST New Housing Rebate?

The Canada Revenue Agency (CRA) administers the GST/HST New Housing Rebate. It allows an eligible individual to recover some of the GST or the federal portion of HST paid on qualifying new or substantially renovated housing used as the individual's or a relation's primary place of residence.

The rebate can apply in several situations, including when you purchase a new or substantially renovated house from a builder, buy a qualifying co-operative housing share, build your own home, hire someone to build it, or substantially renovate an existing home.

The rebate is for individuals. It is not available to corporations or partnerships.

How much can you get back?

For the existing federal GST/HST New Housing Rebate, the rebate is generally 36% of the GST or federal portion of HST paid, up to a maximum of $6,300.

• If the applicable purchase price or fair market value is $350,000 or less, the normal 36% calculation applies, subject to the $6,300 maximum.
• If it is more than $350,000 but less than $450,000, the rebate is progressively reduced.
• At $450,000 or more, the existing federal GST/HST New Housing Rebate is generally zero.

A provincial new housing rebate may still be available in a participating province even when the federal rebate is unavailable. Provincial rules and amounts are separate from the federal calculation.

If you bought the home from a builder

You may qualify when you purchase a new or substantially renovated house, residential condominium unit or other qualifying home from a builder and intend to use it as your or your relation's primary place of residence.

For a typical purchase where the builder sells you both the house and land under the same written agreement, the CRA requires, among other conditions, that you paid the GST/HST due, intended the property to be your or your relation's primary residence when you entered into the agreement, ownership transferred after construction or substantial renovation was substantially completed, and the required first-occupancy condition is met.

For the existing federal rebate, the purchase price before tax, including a taxable assignment amount where applicable, must be less than $450,000.

If the builder credits the rebate

An eligible builder can pay or credit the rebate to you, often by applying it against the amount payable for the home. For the applicable builder-paid application types, the builder files the application with the CRA. Do not submit a second claim for a rebate that has already been credited to you.

Check your agreement and statement of adjustments carefully. A rebate may already be incorporated into the transaction even if you did not receive a separate payment.

If the builder does not credit the rebate

If the builder does not pay or credit an eligible rebate, you generally file the application yourself. Use Form GST190, GST/HST New Housing Rebate Application for Houses Purchased from a Builder. Depending on the claim, the CRA now permits eligible claims to be filed through your CRA account or by mail.

For a typical application where you bought both the house and land from the builder and the builder did not credit the rebate, you have up to 2 years from the date ownership was transferred to claim. If you purchased the house and lease the land from the same builder under the applicable application type, the 2-year period is generally measured from the date possession was transferred.

If you built or substantially renovated the home yourself

Use the owner-built rules if you constructed your home, hired someone else to construct it, or carried out a qualifying substantial renovation. The CRA uses Form GST191, GST/HST New Housing Rebate Application for Owner-Built Houses, together with Form GST191-WS, Construction Summary Worksheet.

For the existing federal rebate, the fair market value of the house when construction or substantial renovation is substantially completed must be less than $450,000. The valuation includes the land, building and other structures reasonably necessary for the use and enjoyment of the home as a residence.

If the fair market value is $350,000 or less, the rebate calculation can equal 36% of the eligible GST or federal portion of HST, up to $6,300. It is reduced when the fair market value is between $350,000 and $450,000.

What does substantially renovated mean?

Simply updating a kitchen, replacing windows or completing ordinary repairs does not automatically make a home substantially renovated for GST/HST purposes. The CRA applies a specific substantial-renovation test.

Generally, all or substantially all of the interior of the existing house must be removed or replaced. The CRA interprets this as at least 90% of the interior that existed immediately before the renovation, excluding certain structural components such as the foundation, external walls, interior supporting walls, roof, floors and staircases.

The test is based on the building as a whole rather than simply the percentage of renovation spending. A project that is expensive but does not meet the CRA's substantial-renovation criteria does not qualify on that basis alone.

When must an owner-builder file?

For owner-built and substantially renovated homes, the deadline depends on the CRA's base date. You generally have up to 2 years after the applicable base date to claim the rebate.

For example, when you first occupy the home after construction or substantial renovation is substantially completed, the base date is generally the date the construction or substantial renovation was substantially completed. Different timing rules apply if you occupy the home before the work is substantially completed or make an exempt sale before anyone occupies it.

For extended substantial-renovation projects, special timing rules can apply. Do not assume that the deadline always runs from the date of your final contractor invoice.

What documents should you keep?

Your supporting records depend on how you acquired or renovated the property. Relevant records can include:

• the agreement of purchase and sale;
• the statement of adjustments;
• documents relating to an assignment of the purchase agreement, if applicable;
• contracts with builders and contractors;
• invoices showing the supplier's name, GST/HST registration number where applicable, description of goods or services and tax paid;
• receipts and proof of payment;
• records supporting the date construction or substantial renovation was substantially completed; and
• information supporting the home's fair market value when the owner-built rules require it.

The CRA can request documents supporting both your eligibility and the amount claimed. Missing required supporting documents can result in the rebate being denied.

Which form do you use for a builder purchase?

Use Form GST190 to claim the GST/HST New Housing Rebate for a qualifying house purchased from a builder. The CRA's current GST190 also accommodates the First-time Home Buyers' GST/HST Rebate where applicable.

If your home is in Ontario and you are claiming an applicable Ontario rebate, additional Ontario schedules may be required. Filing availability can also differ for claims involving newer Ontario rebate programs, so follow the filing instructions on the current CRA form rather than relying on an older version.

Which form do you use for an owner-built home?

Use Form GST191 when you built a new house, substantially renovated your home, made a qualifying major addition as part of a renovation, or converted qualifying property from non-residential to residential use. The supporting construction calculation is completed on Form GST191-WS.

Electronic filing is available for qualifying claims that do not fall within a temporary mail-only filing restriction identified by the CRA. The current GST191 page should be checked when you file because filing channels can differ by rebate component.

First-time buyer? Check the newer rebate too

The existing GST/HST New Housing Rebate described above should not be confused with the newer First-time Home Buyers' (FTHB) GST/HST Rebate, which became available after legislative changes received Royal Assent in March 2026.

The FTHB rebate can provide substantially greater federal relief for eligible first-time buyers. For qualifying homes, it can eliminate the GST or federal portion of HST on a new home valued up to $1 million, with the rebate phased out between $1 million and $1.5 million. No federal FTHB rebate is available at $1.5 million or more.

For a home purchased from a builder, the FTHB rules generally require an eligible agreement of purchase and sale entered into on or after March 20, 2025 and before 2031, construction or substantial renovation beginning before 2031 and being substantially completed before 2036, transfer of ownership before 2036, first-time-home-buyer status, primary-residence use and the required first-occupancy condition. Owner-built homes have their own corresponding conditions.

If you qualify for both regimes, the current GST190 and GST191 forms provide calculations for the applicable rebates. Do not assume the existing $450,000 federal limit prevents you from receiving the separate FTHB rebate.

Does the home have to be your primary residence?

Yes, for this homeowner rebate the qualifying home must generally be intended for use as the primary place of residence of you or a relation. A property acquired simply to operate as a rental property does not qualify under these homeowner rules.

Separate GST/HST rebate programs exist for qualifying new residential rental properties, but those rules are outside this homeowner procedure.

Common mistakes to avoid

• Claiming the rebate again when the builder has already credited it in the purchase transaction.
• Using the $450,000 threshold without distinguishing the existing GST/HST New Housing Rebate from the newer First-time Home Buyers' rebate.
• Assuming any large renovation qualifies as a substantial renovation.
• Using the wrong form: GST190 is generally for qualifying builder purchases, while GST191 applies to owner-built and substantially renovated homes.
• Missing the applicable 2-year filing deadline.
• Discarding invoices or other records needed to prove GST/HST paid.
• Treating a rental property as though it were a homeowner primary-residence claim.

Other first-home programs may have separate rules

The GST/HST housing rebate is separate from income-tax and savings programs for home buyers. Depending on your situation, you may also want to review how to open and use a First Home Savings Account, or how the RRSP Home Buyers' Plan withdrawal works. If you have already used the Home Buyers' Plan, its repayment and CRA reporting rules are separate from the GST/HST rebate.