AI Quick Summary
To apply for the 2026 GST rebate in Ontario, buyers must ensure their agreement was signed on or after March 20, 2025. The rebate is typically credited by your builder at closing, but can be claimed directly from the CRA via Form GST190 if not applied upfront.
✅ Official Law — March 2026
2026 Housing Legislation has received Royal Assent and the federal GST elimination for New Home Buyers is now officially law. Use this guide to understand how to claim your rebate directly from the CRA or through your builder.
Now that the 2026 Housing Legislation (2026 Housing Legislation) is officially law, thousands of eligible New Home Buyers in Ontario are asking the same question: How do I actually get my GST rebate?
For qualifying New Home Buyers who signed an agreement of purchase and sale on or after March 20, 2025, the enhanced rebate eliminates 100% of the federal GST on homes priced up to $1 million, phasing out proportionally up to $1.5 million. The process to claim these unprecedented savings depends heavily on your final closing date.
How to Claim the Rebate: Two Different Paths
1. For Closings After March 12, 2026 (Royal Assent Date)
If your new home closes (legal title transfers) after March 12, 2026, the process is streamlined. In most cases, your builder can apply the rebate directly to your purchase price at closing. This is the industry standard for new construction rebates — instead of writing a massive check to the government and waiting for a refund, the builder simply reduces your final closing balance by the rebate amount, and the builder claims the funds from the CRA directly.
Action Item: Always verify with your real estate lawyer and your builder's sales representative that the enhanced C-4 rebate has been factored into your Statement of Adjustments prior to closing.
2. For Closings Before March 12, 2026 (The Retroactive Group)
If you signed on or after March 20, 2025, but your home closed before March 12, 2026, your builder could not legally credit you the enhanced rebate at closing because the bill had not yet received Royal Assent. In this scenario, you must apply for the rebate proactively and directly through the Canada Revenue Agency (CRA).
Required CRA Forms
To claim your rebate retroactively or if your builder refuses to credit it, you will need to file the following documents with the CRA once they are updated for the new legislation:
- Form GST190: GST/HST New Housing Rebate Application for Houses Purchased from a Builder
- Form RC7190-ON: GST190 Ontario Rebate Schedule
Strict Application Time Limits
Do not delay your application. By law, you generally have two years from the date of closing (or substantial completion) to file your GST190 claim with the CRA. If you miss this window, your eligibility for the rebate expires entirely.
Review Your Eligibility Requirements
The CRA will audit claims to ensure strict adherence to the new 2026 Housing Legislation parameters. To successfully claim the enhanced federal rebate, you must meet all of the following conditions:
- New Home Buyer Status: You (and your spouse/common-law partner, if applicable) must not have owned and lived in a principal residence in the current calendar year or the four preceding calendar years.
- Citizenship: You must be a Canadian citizen or a Permanent Resident.
- Primary Residence: You or a direct relation must occupy the home as a primary place of residence. If you purchased the home purely as an investment/rental property, you do not qualify for this specific New Home Buyer enhancement.
- Purchase Price Limits: The purchase price must be under $1.5 million. The full 100% federal rebate applies to homes under $1 million, phasing out completely at the $1.5 million mark.
Key Legal and Transactional Considerations
| Scenario | What You Need to Know |
|---|---|
| Assignment Sales | If you purchased your new home via an assignment sale, the rebate mechanics shift. In many assignment scenarios, the builder will not credit the rebate at closing. You will be required to pay the full HST amount on closing day and subsequently apply directly to the CRA using Form GST190. |
| Builder Pricing | Review your Agreement of Purchase and Sale (APS) meticulously. Most builders quote purchase prices that are "inclusive" of the HST rebate—meaning they have already baked the tax savings into the sticker price. Your lawyer must confirm who legally captures the incremental value of the new C-4 enhancement. |
| Record Keeping | If applying directly to the CRA, maintain pristine copies of your APS, the Statement of Adjustments from closing, and proof of primary residency. The CRA routinely requests these documents to substantiate high-value rebate claims. |
Calculate Your Exact Entitlement
Use our interactive calculator to see exactly how much you can expect to receive under the finalized 2026 Housing Legislation legislation.
Frequently Asked Questions
How do I claim the GST rebate if my builder didn't credit it?
You can file Form GST190 directly with the CRA within two years of closing. You will need your Statement of Adjustments and proof of eligibility status.
Is the 2026 legislation officially law now?
Yes, the 2026 federal update received Royal Assent in early 2026, making the 100% federal GST elimination for qualifying new builds official across Canada.