Ontario's October 29 fiscal documents clarify how a temporary enhanced provincial HST rebate combines with a provincial top-up for qualifying new homes.
How the temporary relief works
Ontario's October 29 fall statement describes temporary harmonized sales tax relief of up to $130,000 for eligible buyers of new or substantially renovated homes. The Enhanced New Housing Rebate or Enhanced New Residential Rental Property Rebate can provide up to $80,000 in relief on Ontario's 8% share of the HST. The separate Ontario New Home Affordability Payment can provide an additional top-up of up to $50,000, broadly corresponding to the 5% federal share. The size of the benefit depends on eligibility, purchase price and other rebates.
Purchase dates and thresholds
The temporary enhanced measures generally apply to agreements to purchase a new home from a builder entered into from April 1, 2026 through March 31, 2027. For eligible homes valued at up to $1 million, combined relief can equal the entire 13% HST, up to $130,000. The maximum $130,000 amount continues for homes priced above $1 million through $1.5 million. Partial relief tapers for values above $1.5 million and below $1.85 million; at or above $1.85 million only certain existing rebates may remain available.
Two administrators and a timing distinction
Ontario says eligible purchasers apply for the enhanced HST rebates using Canada Revenue Agency forms. The Ontario New Home Affordability Payment does not require a separate Ontario application, but the province expects to begin issuing that payment in early 2027. The provincial top-up is reduced by federal HST rebate amounts that a buyer may be eligible to receive, to avoid counting the same relief twice.
Different rules for first-time buyers
Ontario also describes a distinct first-time home buyers' provincial rebate with different timing criteria, generally relating to eligible agreements entered into on or after March 20, 2025 and before 2031. That is not interchangeable with the temporary April 2026–March 2027 enhanced program. Buyers should review the specific CRA and Ontario criteria for their transaction and contract date rather than relying only on the headline maximum.
Sources & transparency
Ontario 2026 Fall Statement — tax measures annexOntario 2026 Fall Statement — household affordability and housingOriginal CDN News coverage. Sources are linked for reference.
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