HST
HST
It was a long and stressful battle between the Government and the citizens of British Columbia about our new HST taxing system, and it has arrived. We haven’t noticed much of a change yet in our day to day lives, but we have decided like many of our fellow citizens to start embracing the system and become educated on the rebates and benefits of the new tax system.
For us our main concern is for our Clients looking to buy new homes. So specifically in our research we found all of our clients buying new homes are eligible of a rebate totalling 71.43 % of the provincial portion of tax (7%) up to a maximum amount of $26,250. This will mean all homes purchased for $525,000 or more will receive a rebate of $26,250. On top of this rebate, the government argues due to removal of the embedded PST system, the additional costs from the PST system will be removed allowing for builders to lower their cost which reduces the price for the end consumer.
However our clients purchasing pre-owned homes will remain with the same concept of the previous tax system paying 0% HST on a pre-owned home.
For more information of changes in tax rates we found an easy to read chart you could refer to:
The Axfords,
604-931-8152
