The Ontario government is planning to offer a helping hand to people looking to buy a new home.
The province announced on Wednesday that all home buyers will soon be eligible for a rebate as it plans to cut the 13 per cent harmonized sales tax (HST) on new homes. Previously, only first time home buyers were eligible for the rebate under the federal GST/HST First-Time Home Buyers Rebate program.
The rebate could reach as high as $130,000 for homes valued up to $1.5 million. Homes valued at $1.85 million or higher would see a much smaller rebate of around $24,000.
“Ontarians have seen costs increase as a result of ongoing economic uncertainty, so it is more important than ever that we continue to keep costs down to make life more affordable for families and individuals,” said Peter Bethlenfalvy, Ontario's Minister of Finance.
The province believes the rebate could lead to around 8,000 new housing starts in the next year, while also supporting up to 21,000 jobs.
“In the face of tariffs and economic uncertainty, our government is working closely with the federal government to do everything we can to lower costs for families, keep workers on the job, and build the most competitive, resilient, and self-reliant economy in the G7,” said Ontario Premier Doug Ford.
The federal government has also agreed to cost-share with Ontario, with this partnership expected to provide almost $2.2 billion in joint tax relief for housing in the province.
“In the face of tariffs and economic uncertainty, our government is working closely with the federal government to do everything we can to lower costs for families, keep workers on the job, and build the most competitive, resilient, and self-reliant economy in the G7,” said Ford.
The province's full HST plans are expected to be released alongside the province's budget on Thursday.
***This story was written by Logan Bueckert-Charlebois. Logan is a student in the Fanshawe College journalism program, and is currently doing an internship with CKNewsToday.ca
