RE Experts,
CASE : A Purchaser booked a condo in Sep 2010 ( GST/HST new home rebate included in the price) and while waiting for condo to be built, in Aug 2011 buys a detached property as a primary residence.
In Oct 2012 he gets a possession of the Condo and shifts to Condo as primary residence, the Condo price around 390k. Builder claimed the rebate.
in Aug 2013 , within an year of possession of condo, purchaser rented the Condo and shifts the primary residence to detached property.
Within 3 weeks of the shift, CRA calls to claim back the rebate, then sends the notice of rejection of rebate, purchaser agreed to pay almost 30k.
Question is , can the purchaser as a landlord who is now renting the condo, file now the GST/HST New Residential Rental Property Rebate Application under Type 6 ? Will CRA accept ? The purchaser can show the one year lease effective Aug 2013.
If Answer to above question is yes, then
Since he still have time till Aug 2014 (2 years deadline to do so), should he file the application now or wait for the tax filing in 2014 (around march 2014) and then file for the GST/ HST rebate on rental property?
Anybody having an experience or knowledge ?
Anyybody, any experience ?
Hello,
That seems like a very technical inquiry.
Have you tried calling the CRA at 1800-959-8281. Escalate this issue to a senior rep and they would be in a better position to help you out.
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Madan Chartered Accountant team
http://www.madanca.com" rel="nofollow">LINK
Way too technical and I would not even depend on anyone's advice or experience on a forum.
That's right the question is highly technical and only those who have dealt in such cases will be able to answer. Many RE experts are unable to answer this. Looking for one..
Location: God's own country
Posted on: 27-12-13 08:06:58
Dude,
Call the CRA and find out. CRA guys are there to help you on this.
Peace by Murali
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I am a Gents and not a Ladies.
Hi San,
Do you remember when you closed on the condo did your Lawyer report it as owner occupied or rental?
As if you maintained that both your properties are owner occupied and you rent one of them then you are responsible for paying back the rebate...But you do need to talk to CRA and the rebate becomes payable only if you sell the property if you are keeping it and renting you should be ok.
What I think is both the properties were disclosed as owner occupied and that is where the problem started.
I will still advise to talk to a tax lawyer if you are in brampton/mississauga i can refer you to a few people
