HST in BC was rejected by the public in a referendum, and the tax will be reverted back to the GST/PST combination. This has left much uncertainty for home builders and new home buyers as the PST would not be reinstated until April 1, 2013. In order to soften the effect on the housing market and new home builders, the BC Government has unveiled its HST/PST transition plan effective April 1, 2012.
While there are many details and caveats, there are essentially two main parts to the transition.
First, the government will raise the HST rebate threshold for new home buyers to $850,000, up from the current $525,000.
Second, the maximum rebate allowed will increase to $42,500, up from the previous $26,250.
The full Government issued notice can be found here.
If you have any questions concerning the transition or are interested in purchasing a new or resale home, please feel free to call Brad Richert at 604.210.8950 or email email@example.com