On June 5, 2025, proposed legislation was introduced in the House of Commons to amend the Excise Tax Act to include a new GST/HST rebate for first-time home buyers (the “FTHB GST/HST rebate”). The information below is based on this proposed legislation which is currently subject to parliamentary approval and may change.
The CRA is following standard practice when issuing rebates and will not process claims for the FTHB GST/HST rebate until the proposed legislation has received Royal Assent.
Together with the existing GST/HST new housing rebate (where applicable), the FTHB GST/HST rebate would help recover 100% of the GST (or the federal part of the HST) on new homes valued up to $1 million.
The FTHB GST/HST rebate would be gradually reduced for new homes valued between $1 million and $1.5 million. The FTHB GST/HST rebate would not be available for new homes valued at or above $1.5 million.
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Information source from Canada Revenue Agency (CRA)