New Harmonized Value-added Tax System Regulations, No. 2 (SOR/2010-151)

Marginal note:Non-registrant rebate

• 54 (1) For the purposes of subsection 256.21(1) of the Act, if a person that is not a registrant is deemed to have paid tax under subsection 51(5), 52(5) or 53(5) in respect of a taxable supply that is in respect of a residential complex, the person is a prescribed person and the amount of the rebate in respect of the complex under subsection 256.21(1) of the Act is equal to the amount of that tax.

• Marginal note:Application for rebate

  (2) For the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (1), must be filed within two years after the day on which the tax referred to in that subsection is deemed to have been paid.

DIVISION 4Transitional New Housing Rebates

Marginal note:Definitions

• 55 (1) The following definitions apply in this Division.

  estimated provincial levy

  estimated provincial levy, in respect of a rebate in relation to a specified residential complex or a specified single unit residential complex means

  • (a) if, in an application filed for the rebate, the amount applied for is not based on the fair market value of the complex or the consideration for the supply of the complex, the amount determined by the formula

    A × B

    where

    A

    is

    • (i) if the complex is not a residential condominium unit, the number of square metres of the interior floor space of the complex, and

    • (ii) if the complex is a residential condominium unit, the total of

      • (A) the number of square metres of the interior floor space of the unit, and

      • (B) the amount equal to the total number of square metres of interior floor space of the common areas of the condominium complex in which the unit is situated multiplied by the fraction obtained by dividing the number of square metres of interior floor space of the unit by the total number of square metres of interior floor space of all condominium units in the condominium complex, and

    B

    is

    • (i) if the complex is situated in Ontario, $45, or

    • (ii) if the complex is situated in British Columbia, $60; and

  • (b) in any other case, the amount determined by the formula

    A × 2%

    where

    A

    is

    • (i) in the case where a builder of the complex was deemed under section 191 of the Act to have collected, at any time, tax in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 56(4) or 57(4), that is payable to the builder in respect of the complex, the fair market value of the complex at that time,

    • (ii) in the case where tax was deemed under paragraph 52(1)(e) to have been collected in respect of a taxable supply that is in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 57(4), that is payable to the builder of the complex, the consideration for the supply,

    • (iii) in the case of a complex that is a residential condominium unit, if tax was deemed under paragraph 53(1)(e) to have been collected in respect of a taxable supply that is in respect of the condominium complex in which the unit is situated and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 57(4), that is payable to the builder of the complex, the portion of the consideration for the supply that is attributable to that unit,

    • (iv) in the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraph (i) does not apply and the amount of which is determined under subsection 56(4), that is payable to an individual in respect of the complex, the consideration for the supply by way of sale of the complex to the individual, or

    • (v) in the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraphs (i) to (iii) do not apply and the amount of which is determined under subsection 57(4), that is payable to a builder in respect of the complex, the consideration for the supply by way of sale of the complex by the builder. (prélèvement provincial estimé)

  specified residential complex

  specified residential complex means

  • (a) a multiple unit residential complex (other than a multiple unit residential complex referred to in the definition single unit residential complex in subsection 254(1) of the Act) or an addition to a multiple unit residential complex, if the construction or last substantial renovation of the complex or addition began before July 1, 2010 and subsection 191(3) or (4) of the Act, as the case may be, did not apply, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the day on which the construction or last substantial renovation began and before July 1, 2010, to deem a supply of the complex or addition to have been made; or

  • (b) a residential condominium unit in a condominium complex where the construction or last substantial renovation of the condominium complex began before July 1, 2010 and neither subsection 191(1) nor (2) of the Act applied, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the construction or last substantial renovation began and before July 1, 2010, to deem a supply of the unit to have been made. (immeuble d’habitation déterminé)

  specified single unit residential complex

  specified single unit residential complex means a residential complex, other than a floating home or a mobile home,

  • (a) that is a single unit residential complex (within the meaning of subsection 254(1) of the Act);

  • (b) the construction or last substantial renovation of which began before July 1, 2010; and

  • (c) that was not occupied by any individual as a place of residence or lodging after the construction or last substantial renovation began and before July 1, 2010. (immeuble d’habitation à logement unique déterminé)

• Marginal note:Interior floor space

  (2) Subject to subsection (3), for the purposes of this Division, the interior floor space of a complex or unit includes the width of its enclosing walls that are not adjacent to any other complex or unit and half of the width of its enclosing walls that are adjacent to another complex or unit.

• Marginal note:Interior floor space

  (3) The interior floor space of a complex and of the common areas of a condominium complex does not include

  • (a) storage rooms, attics and basements, unless finished to a standard comparable to the living areas of the complex

    • (i) by the builder that supplies the complex to the person entitled to claim a rebate in respect of the complex, the amount of which is determined under this Division, or by any previous builder of the complex, if the complex is a specified single unit residential complex, and

    • (ii) by a builder of the complex, in any other case;

  • (b) parking areas; and

  • (c) areas set aside for the placement of equipment for the heating or cooling of, or the supply of water, gas or electricity to, the complex or the condominium complex.

Marginal note:Rebate for a specified single unit residential complex

• 56 (1) For the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified single unit residential complex:

  • (a) a builder of the complex

    • (i) is deemed under section 191 of the Act to have made a taxable supply of the complex as a consequence of giving possession or use of the complex to a person or of occupying it as a place of residence, or

    • (ii) makes a taxable supply by way of sale of the complex to an individual;

  • (b) the complex is situated in a specified province;

  • (c) tax under subsection 165(2) of the Act is payable in respect of the supply;

  • (d) if subparagraph (a)(i) applies, first possession or use of the complex as a place of residence, after substantial completion of its construction or last substantial renovation, occurs on or after July 1, 2010 and before July 1, 2014;

  • (e) if subparagraph (a)(ii) applies, possession of the complex is transferred to the individual on or after July 1, 2010 and before July 1, 2014; and

  • (f) that construction or last substantial renovation of the complex is 10% or more completed immediately after June 2010.

• Marginal note:Prescribed property and person

  (2) If the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property and

  • (a) in the case described in subparagraph (1)(a)(i), the builder referred to in paragraph (1)(a) is a prescribed person; and

  • (b) in the case described in subparagraph (1)(a)(ii), the individual referred to in that subparagraph is a prescribed person.

• Marginal note:Assignment of rebate

  (3) If the circumstances described in subsection (1) are satisfied in respect of a complex and subparagraph (1)(a)(ii) applies in respect of the complex, for the purposes of subsection 256.21(6) of the Act, the rebate under subsection 256.21(1) of the Act in respect of the complex, the amount of which is determined under subsection (4), is a prescribed rebate and that rebate may be assigned to the builder of the complex referred to in paragraph (1)(a).

• Marginal note:Amount of rebate

  (4) If the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate in respect of the complex under that subsection is

  • (a) 100% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 90% or more completed;

  • (b) 90% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 75% or more but less than 90% completed;

  • (c) 75% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 50% or more but less than 75% completed;

  • (d) 50% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 25% or more but less than 50% completed; or

  • (e) 25% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 10% or more but less than 25% completed.

Marginal note:Rebate for specified residential complex

• 57 (1) For the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified residential complex:

  • (a) immediately before July 1, 2010, a builder of the specified residential complex situated in a specified province owns or has possession of the complex;

  • (b) the builder referred to in paragraph (a) had not, before July 1, 2010, transferred ownership or possession of the complex under an agreement of purchase and sale to any person who is not a builder of the complex;

  • (c) if the specified residential complex is not a residential condominium unit, the construction of the complex or, in the case of a substantial renovation, the last substantial renovation of the complex, is, immediately after June 2010, 10% or more completed;

  • (d) if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated, the last substantial renovation of the specified residential complex, is, immediately after June 2010, 10% or more completed; and

  • (e) if the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated, the construction of the condominium complex or, in the case of a substantial renovation, the last substantial renovation of the condominium complex, is, immediately after June 2010, 10% or more completed.

• Marginal note:Prescribed property and person

  (2) If the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property and the builder of the complex is a prescribed person.

• Marginal note:Exception — prescribed person

  (3) If subsections 191(1) to (4) of the Act do not apply to a builder of a specified residential complex as a consequence of the application of any of subsections 191(5) to (7) of the Act, the builder is deemed never to have been a prescribed person under subsection (2) in respect of the complex for the purposes of subsection 256.21(1) of the Act.

• Marginal note:Amount of rebate

  (4) If the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate under that subsection is

  • (a) if the specified residential complex is not a residential condominium unit,

    • (i) 100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 90% or more completed,

    • (ii) 90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 75% or more but less than 90% completed,

    • (iii) 75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 50% or more but less than 75% completed,

    • (iv) 50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 25% or more but less than 50% completed, or

    • (v) 25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 10% or more but less than 25% completed;

  • (b) if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated,

    • (i) 100% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 90% or more completed,

    • (ii) 90% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 75% or more but less than 90% completed,

    • (iii) 75% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 50% or more but less than 75% completed,

    • (iv) 50% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 25% or more but less than 50% completed, or

    • (v) 25% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 10% or more but less than 25% completed; or

  • (c) if the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated,

    • (i) 100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 90% or more completed,

    • (ii) 90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 75% or more but less than 90% completed,

    • (iii) 75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 50% or more but less than 75% completed,

    • (iv) 50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 25% or more but less than 50% completed, or

    • (v) 25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 10% or more but less than 25% completed.

• (5) [Repealed, SOR/2012-191, s. 42]