Buying real estate can be a daunting experience. Navigating through tax policies and dealing with the Canada Revenue Agency (CRA) just adds to the anxiety. In Ontario, the Harmonized Sales Tax (HST) adds a further twist that can often cause confusion. The HST came into effect in the summer of 2010 and consists of a 13 per cent tax (5 per cent federal and 8 per cent provincial) on the purchase of a new or substantially renovated home or condominium.
To help homebuyers deal with the increased cost of buying a new home, the federal and provincial governments introduced a rebate program that reimburses a portion of the HST and could potentially mean upwards of $30,000 back in your pocket.
Unfortunately, if you don’t have an accounting background, the HST rebate can be a tricky process requiring the submission of various documents to the government. Companies like Finance My HST makes this process easy. Each year, Finance My HST helps hundreds of investors and business clients receive their HST rebate. The Toronto-based tax consultancy specializes in the provincial tax and offers a suite of services for both homebuyers and investors, from completing and submitting rebate forms to financing HST payments.
The company’s consultants provide full service solutions including: advice, preparing for claims, submitting the claims, tracking throughout the claim process and providing audit support if required. Their ultimate objective is to educate clients about the impact of HST on their acquisitions.
Whether you’ve purchased a new property for yourself or as an investment, the team at Finance My HST can help you get your rebate and help finance your HST. The process of applying for the rebate differs whether you’re applying as an investor or an end user. Homebuyers who plan to live in the home have to apply for the New Home Rebate (NHR), while investors must file for the New Residential Rental Property Rebate (NRRPR). Both types must be filed within two years of a new home or condo closing, however each rebate comes with its own unique set of guidelines so it’s important to file for the correct program. The consultants at Finance My HST will manage the tax and accounting process thereby reducing the time taken for you to acquire your rebate and assist in preventing re-assessment and penalty during audits.
According to the company, one of the greatest challenges is to explain the current state of the HST rebate to Canadians. The Finance My HST Ontario team helps clients with all the paperwork and will represent them in further communication with the CRA ensuring maximum returns for their purchases.
Investors purchasing multiple properties who take advantage of the firm’s financing options have the peace of mind knowing that they can manage their cash flow on closing, while developers benefit from a reduced likelihood of extension requests from buyers who don’t have available funds. The application process is quick, easy and only takes 48 hours to get a response. Plus, buyers have the option of applying either at the sales centre location or online at financemyhst.com.
For more information call 1 888 660 4413.