Real Estate

Help filling out HST Rebate Application for Rental Property

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[OP]
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Mar 1, 2006
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Help filling out HST Rebate Application for Rental Property

I have a few questions regarding the HST Rebate Application - GST524E form. Hopefully someone here can help answer those questions.

1. Let's say Party A purchased a blueprint condo in 2011. Then in 2014 they transferred the title over to Party B. Since Party B is filling out this form now and the form asks for a 'purchase agreement date' Party B would put in 2014 right? B/C that's when the title was transferred over?

2. On Section D of the rebate calculation part it asks for the Fair Market Value (FMV) of the condo unit at the time tax became payable on the purchase. My understanding is that tax becomes payable on the possession date? How does one find the FMV of the unit?

3. To fill out the form you also need to know the condo registration date, aside from asking Building Management when this date was, I can't find any paperwork to help identify this date. How does one find such date?

I'm sure there will be more questions.

Thanks in advance!
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5 replies
Deal Addict
Jun 20, 2011
2018 posts
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VANCOUVER
JayTee1 wrote: I have a few questions regarding the HST Rebate Application - GST524E form. Hopefully someone here can help answer those questions.

1. Let's say Party A purchased a blueprint condo in 2011. Then in 2014 they transferred the title over to Party B. Since Party B is filling out this form now and the form asks for a 'purchase agreement date' Party B would put in 2014 right? B/C that's when the title was transferred over?

If you are referring to section A next to relevant date, you enter in as it says "earlier of the possession date that was transferred to you or date ownership was". So that would mean 2014 for you.

2. On Section D of the rebate calculation part it asks for the Fair Market Value (FMV) of the condo unit at the time tax became payable on the purchase. My understanding is that tax becomes payable on the possession date? How does one find the FMV of the unit?

This one was tricky. I actually called them twice about this. FMV just means what someone is willing to pay for the property and X point of time. So to get your FMV you find the comparable units in your building/area. You'll probably need access to sold prices and then you can get an average.

3. To fill out the form you also need to know the condo registration date, aside from asking Building Management when this date was, I can't find any paperwork to help identify this date. How does one find such date?

You can probably get the answer from the builder or the real estate agent you dealt with.

I'm sure there will be more questions.

Thanks in advance!
See answers in red

You might want to do your calculations after you figure out your FMV. There are times where you will get $0.00 due to the figures you input.

Also, make sure you send them all the required docs they ask for to prevent delays. I forgot to include my buyer statement of adjustments so that cost me a few weeks. :(
[OP]
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Mar 1, 2006
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In Section C it says "If you are claiming your new residential rental property rebate as an adjustment on line 111 of your GST/HST return or on line 1301 of Schedule A of your GST/HST NETFILE return, enter the reporting period in which you claimed the adjustment"

Can anyone clarify what this means or is asking for?
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[OP]
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Mar 1, 2006
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There's a page that breaks down the HST calculation.
Line 1 is 13% of the Sale Price.
Line 2 is 13% of the Tarion Enrollment Fee
Line 3 is 13% of the Adjusted Credit to Vendor.
Line 4 would be a total of A B and C

In Part I, Line A of the form, we multiple the HST amount paid by 5/13. I'm assuming that the number I use is Line 1 (The Sale Price) and not Line 4 (The total of Lines 1 through 3). Is that correct?
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JayTee1 wrote: There's a page that breaks down the HST calculation.
Line 1 is 13% of the Sale Price.
Line 2 is 13% of the Tarion Enrollment Fee
Line 3 is 13% of the Adjusted Credit to Vendor.
Line 4 would be a total of A B and C

In Part I, Line A of the form, we multiple the HST amount paid by 5/13. I'm assuming that the number I use is Line 1 (The Sale Price) and not Line 4 (The total of Lines 1 through 3). Is that correct?
Replied to both your questions via your PM to me. Hope it helped shine some light on this application.
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Dec 6, 2008
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Toronto
If you are claiming your new residential rental property rebate as an
adjustment on line 111 of your GST/HST return or on line 1301 of
Schedule A of your GST/HST NETFILE return, enter the reporting
period in which you claimed the adjustment.

What does this mean?

I don't have an HST number. Should I fill this if I bought a new condo unit just for rental purposes?

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