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How the HST Rebate in Ontario is Changing in 2026

Date Posted
29 June 2026

In 2026, the Ontario government announced that it would be changing the HST Rebate in Ontario temporarily to lower the cost of newly constructed homes. The enhancements to the HST Rebate on new homes or on substantial home renovations will remove the full provincial portion of the HST (harmonized sales tax). In tandem with the federal portion of the rebate, homebuyers can get up to $130,000 in savings. To find out if you qualify for the enhanced HST Rebate program in Ontario, book a consultation with your local rebate experts. Rebate4U has been supporting property owners across the province by providing guidance on the HST Rebate and submitting applications in situations where the property owner is required to make their own application rather than the builder. 

How the HST Rebate in Ontario is Changing in 2026

Here are some insights into what you can expect from the HST Rebate in Ontario in 2026.

What Is Changing with the HST Rebate in 2026?

The 2026 enhancement is designed to temporarily make qualifying new homes more affordable. Under the updated relief structure, eligible homes valued up to $1 million may qualify for a full rebate of the 8% provincial portion of the HST. For homes valued between $1 million and $1.5 million, the maximum provincial rebate is expected to remain available, up to $80,000.

When combined with additional relief related to the 5% federal portion, the total potential savings may reach up to $130,000 for qualifying properties. For homes valued between $1.5 million and $1.85 million, the enhanced rebate is phased out. Once the property reaches $1.85 million or more, the existing Ontario rebate amount may still apply instead.

To find out where you and your property fit in the HST Rebate on new homes, contact Rebate4U and book a consultation with our team of experts.

Who May Qualify?

The enhanced rebate is expected to apply to qualifying newly built homes, including detached homes, semi-detached homes, townhomes, and condos. It may also apply to eligible rental properties where the property meets the rebate rules.

Depending on the situation, repeat buyers and investors may also be eligible, provided the property is used properly under the rules, either as a primary residence or a qualifying residential rental property.

For homeowners completing major rebuilds, the HST rebate on home renovations may also be relevant if the work qualifies as a substantial renovation. This is different from a standard renovation or cosmetic update, so eligibility should be reviewed carefully before assuming the rebate applies.

Documentation Matters for a Successful Application

When you are responsible for submitting the application, rather than the builder, documentation becomes very important. You may need purchase agreements, closing documents, invoices, occupancy details, lease agreements, proof of use, builder information, renovation records, and tax calculations. 

For the HST rebate on home renovations, records are especially important because the claim depends on whether the project meets the definition of a substantial renovation. If the work does not meet the threshold, you may not be eligible to receive the HST rebate on home renovations.

Get Help Before You File with our Local HST Rebate Specialists

The 2026 changes may create major savings, but they also add new timing rules and eligibility questions. If you are buying, building, renting, or substantially renovating a property in Ontario, it is worth reviewing your situation before filing.

At Rebate4U, we help property owners understand what rebate may apply, whether the builder or owner is responsible for the application, and what documents are needed. Getting support early can help reduce errors, avoid missed deadlines, improve your chances of submitting a complete claim, and maximize your return from the rebate program. 

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Why Choose Rebate4U?

Experienced Specialists

For over 10 years, the Rebate4U team has the knowledge and expertise to help residential property owners throughout Ontario successfully apply for regional HST Rebate programs.

Free Consultations

Our specialists offer complimentary consultations where we review your eligibility to determine whether you qualify for an Ontario HST Rebate so you can proceed with your application confidently.

Millions Awarded

We are able to expertly navigate rebate opportunities, staying up-to-date on the most recent rebate developments and changes in the HST Rebate program to maximize returns. To date, we’ve successfully acquired millions of dollars for clients in total.

Customer Commitment

The Rebate4U team is dedicated to delivering the highest level of customer service, we are here to answer your questions and help you navigate the intracises of your application easily and efficiently.

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HST Rebate in Toronto

Recent Posts view all posts

How the HST Rebate in Ontario is Changing in 2026

In 2026, the Ontario government announced that it would be changing the HST Rebate in Ontario temporarily to lower the cost of newly constructed homes. The enhancements to the HST Rebate on new homes or on substantial home renovations will remove the full provincial portion of...

Read More

How Much First Time Homebuyers Can Save with HST Rebates Based on Closing Price

In March 2026, Bill C-4, the Making Life More Affordable for Canadians Act, passed, allowing first-time buyers of newly built or renovated homes to receive up to $50,000 back from the HST Rebate in Ontario. For first-time homebuyers in Toronto and throughout Ontario, these HST...

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