A newly published CRA memorandum spells out how the national first-time homebuyers' GST/HST rebate works, including price limits, contract dates and filing deadlines.
How the federal first-time-buyer rebate is structured
Canada Revenue Agency guidance published in October 2026 explains the first-time home buyers' GST/HST rebate for qualifying newly built or substantially renovated homes. Together with the existing new-housing rebate where applicable, it can cover 100% of the GST or federal portion of HST for eligible homes valued up to $1 million. Relief is gradually reduced for homes priced above $1 million and below $1.5 million; no first-time-buyer federal rebate is available at or above $1.5 million. Those are value thresholds, not a promise that every purchase receives the maximum credit. Ontario has additional provincial HST provisions, which the CRA explains separately. The CRA's current program page says applications are open and states that the federal first-time-buyer rebate can be worth up to $50,000, subject to eligibility. Its October 2026 technical memorandum explains how that amount interacts with the existing new-housing rebate.
Timing and occupancy restrictions are essential
For a qualifying home bought from a builder, the CRA states that the agreement of purchase and sale generally must have been signed after March 19, 2025 and before 2031, with construction or substantial renovation beginning before 2031 and completion and transfer occurring before 2036. The buyer must meet the first-time-homebuyer definition and intend the property as a primary residence under the applicable rules. A purchase agreement signed before the specified date can be ineligible even if closing happens afterward; the CRA memorandum provides examples about conditional contracts, cancellations and replacement agreements.
Claims are not automatic
Eligibility varies with the purchase arrangement, whether land is owned or leased, cooperative shares or owner-built housing, the buyer's status and other conditions. The CRA identifies forms GST190 and GST191 for common situations, and generally sets a two-year filing deadline from a transaction milestone such as ownership transfer. Builders may credit qualifying rebates under specified procedures. Purchasers should consult the full CRA memorandum and current forms rather than assuming every new condo or house purchase receives a tax-free price. This national guidance differs from CDN News's earlier article about Ontario's additional new-housing HST relief.
Sources & transparency
Canada Revenue Agency — First-time Home Buyers' GST/HST Rebate memorandum 19-3-10, October 2026Canada Revenue Agency — First-time home buyers' GST/HST rebate overviewOriginal CDN News coverage. Sources are linked for reference.
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