- Canada has introduced Bill C-56, the Affordable Housing and Groceries Act, which proposes changes to the GST rental rebate and the Competition Act.
- The bill aims to increase the GST rental rebate on new purpose-built rental housing from 36% to 100% with no phase-out thresholds or limits.
- The amendments are intended to encourage the construction of more apartment buildings, student housing, and senior residences for long-term rental accommodation.
- The enhancement will apply to residential units that qualify for the current GST rental rebate and are constructed between 2023 and 2031.
- Bill C-56 also expands entitlement to the GST rental rebate for public service bodies, such as universities, municipalities, and charities.
- Further legislative changes and regulations are expected to clarify the details of the proposed measures.
- The bill only addresses the federal portion of the HST, and additional provincial rebates may be available.
Source: taxnews.ey.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
