Excise and GST/HST News - No. 122
April 2026
Table of Contents
First-time home buyers' GST/HST rebate
Amendments to Part IX of the Excise Tax Act contained in Bill C-4 were tabled in Parliament on June 5, 2025 to introduce a new GST/HST rebate for first-time home buyers (the FTHB GST/HST rebate). Bill C-4 received royal assent on March 13, 2026.
Background – GST/HST new housing rebate
An individual may be entitled to claim a GST/HST new housing rebate in respect of a newly constructed or substantially renovated residential complex. The GST/HST new housing rebate is generally 36% of the GST or federal part of the HST paid, or deemed paid, on the acquisition, or deemed acquisition, of a single unit residential complex or residential condominium unit. The maximum GST/HST new housing rebate amount is $6,300.
For single unit residential complexes or residential condominium units with a purchase price or fair market value (FMV) between $350,000 and $450,000, the GST/HST new housing rebate for some of the GST or federal part of the HST is gradually reduced. No rebate is available for the GST or federal part of the HST if the complex or unit is valued at $450,000 or more.
For more information on this rebate, go to GST/HST new housing rebate.
New first-time home buyers' GST/HST rebate
The recent amendments introduced a new FTHB GST/HST rebate. Together with the GST/HST new housing rebate, the FTHB GST/HST rebate provides a rebate to a first-time home buyer of 100% of the GST or federal part of the HST on a newly constructed or substantially renovated residential complex that is a single unit residential complex or residential condominium unit valued up to $1 million.
For single unit residential complexes or residential condominium units with a purchase price or FMV between $1 million and $1.5 million, the FTHB GST/HST rebate for some of the GST or federal part of the HST is gradually reduced. No FTHB GST/HST rebate is available for the GST or federal part of the HST if a complex or unit is valued at $1.5 million or more.
Generally, to be considered a first-time home buyer, an individual must:
- be at least 18 years of age
- be a Canadian citizen or permanent resident of Canada
- not have lived in a home, whether in or outside of Canada, that they or their spouse or common-law partner owned or jointly owned as their primary place of residence at any time in the calendar year that includes the particular time or in the preceding four calendar years
The FTHB GST/HST rebate is generally available to an individual in respect of a residential complex that is a single unit residential complex or residential condominium unit if they:
- meet the eligibility criteria for the existing GST/HST new housing rebate, or would meet all the eligibility criteria if the maximum purchase price or FMV of the residential complex for that rebate was changed from $450,000 to $1.5 million
- entered into an agreement of purchase and sale with a builder for a new or substantially renovated residential complex on or after March 20, 2025, and before 2031 and intended, at that time, to use the complex as their primary place of residence, or in the case of an owner-built home, the construction or substantial renovation begins on or after March 20, 2025 and before 2031 and is for use as their primary place of residence
- begin construction or substantial renovation of the residential complex before 2031 and it is substantially completed before 2036
- are a first-time home buyer at a particular time
- are the first to occupy the residential complex as a place of residence after the construction or substantial renovation of the residential complex is substantially complete
- have not previously applied for or been deemed to have applied for a FTHB GST/HST rebate.
An individual must be a first-time home buyer at a particular time, that is:
- if the residential complex was purchased from a builder: the date ownership of the residential complex is transferred to the individual
- if the residential complex was constructed by the individual: the earlier of two dates:
- the date the individual first occupied the residential complex as a place of residence after the construction or substantial renovation began
- the date when the construction or substantial renovation of the residential complex is substantially completed
The FTHB GST/HST rebate is also generally available to a first-time home buyer who purchased a newly constructed or substantially renovated residential complex on land leased from the builder for use as their primary place of residence, or purchased a share in a cooperative housing corporation that entitles the first-time home buyer to occupy a newly constructed or substantially renovated residential unit for use as their primary place of residence.
For more information on this rebate, go to First-time home buyers’ (FTHB) GST/HST rebate.
Prescribed rates of interest
The prescribed annual rate of interest in effect from April 1, 2026 to June 30, 2026 on overdue amounts payable to the Minister is 7%. The prescribed annual rate of interest on amounts owed by the Minister (such as, rebates or refunds) is 3% for corporate taxpayers and 5% for non-corporate taxpayers. These rates are applicable to income tax, excise taxes, GST/HST, underused housing tax (UHT), air travellers security charge (ATSC), luxury tax, fuel charge (under the Greenhouse Gas Pollution Pricing Act) and excise duties on wine, spirits, tobacco, cannabis and vaping products.
The prescribed annual rate of interest respecting excise duty on beer products, on overdue amounts payable for the indicated period, is set at 5%. Refund interest rates are not applicable for amounts owed by the Minister (such as, rebates or refunds) for excise duty that is in relation to beer products.
| PERIOD | April 1, 2026 to June 30, 2026 | January 1, 2026 to March 31, 2026 | October 1, 2025 to December 31, 2025 | July 1, 2025 to September 30, 2025 |
|---|---|---|---|---|
Refund Interest Corporate Taxpayers |
3% | 3% | 3% | 3% |
Refund Interest Non-Corporate Taxpayers |
5% | 5% | 5% | 5% |
| Arrears and Instalment Interest | 7% | 7% | 7% | 7% |
| PERIOD | April 1, 2026 to June 30, 2026 | January 1, 2026 to March 31, 2026 | October 1, 2025 to December 31, 2025 | July 1, 2025 to September 30, 2025 |
|---|---|---|---|---|
| Arrears Interest Excise duty - beer products | 5% | 5% | 5% | 5% |
Prescribed interest rates for previous years are available on Canada.ca at Prescribed interest rates.
Forms and publications
All GST/HST, underused housing tax, luxury tax, fuel charge, excise duties, and excise taxes and other levies technical publications can be found on the Technical tax information webpage on Canada.ca. To access all forms and publications, go to Forms and publications - CRA, and for a list of new and revised publications, go to the Canada Revenue Agency publications listed by number webpage. To access guides, returns and elections relating to the GST/HST, go to GST/HST-related forms and publications.
To receive email notification as soon as a document is published on the Canada.ca website, go to Canada Revenue Agency electronic mailing lists and subscribe to the RSS feed for all new Canada Revenue Agency publications and forms, or subscribe to any number of mailing lists for different types of publications.
Contact us
Enquiries regarding programs administered by the Excise and Specialty Tax Directorate
For information about how to make a general or technical enquiry relating to excise duties, excise taxes and other levies (including the air travellers security charge), the fuel charge or the luxury tax or to enquire about your account or the processing status of a return or related refund or rebate application, refer to Contact Information – Excise and Specialty Tax Directorate.
Telephone enquiries
GST/HST
To make a GST/HST enquiry by telephone:
- call Business Enquiries at 1‑800‑959‑5525 for general enquiries
- call GST/HST Rulings at 1‑800‑959‑8287 for technical enquiries
If you are located in Quebec, call Revenu Québec at 1‑800‑567‑4692 or visit their website at revenuquebec.ca.
If you are a selected listed financial institution (whether or not you are located in Quebec) and require information on the GST/HST or the QST, go to GST/HST and QST information for financial institutions, including selected listed financial institutions or:
- call Business Enquiries at 1‑800‑959‑5525 for general GST/HST or QST enquiries
- call GST/HST Rulings SLFI at 1‑855‑666‑5166 for technical GST/HST or QST enquiries
Underused housing tax
For general enquiries about a residential property that is owned by an individual:
- Calls from the U.S. or Canada: 1‑800‑959‑8281
- Calls from elsewhere: 613‑940‑8495 (collect calls accepted)
For general enquiries about a residential property that is owned by a corporation:
- Calls from the U.S. or Canada: 1‑800‑959‑5525
- Calls from elsewhere: 613‑940‑8497 (collect calls accepted)
Account enquiries
For general information about the GST/HST and the underused housing tax and to make enquiries regarding your account, you can:
- view answers to common enquiries, or submit an enquiry using the online Enquiries service in My Business Account, through the Sign in to your CRA account portal;
- view account information online at Digital services for businesses;
- call Business Enquiries at 1‑800‑959‑5525.
For enquiries regarding the status of specific GST/HST domestic rebate claims, call Business Enquiries at 1‑800‑959‑5525.
Access your account online
For online access to your GST/HST, air travellers security charge, luxury tax, fuel charge, and excise tax and duty accounts (such as viewing up-to-date account balances and transactions, transferring payments and more), go to Sign in to your CRA account and access:
- My Business Account if you are the business owner
- Represent a Client if you are an authorized representative or employee
Help
For technical support using our online services:
- business accounts, call 1‑800‑959‑5525
- teletypewriter users, call 1‑800‑665‑0354
- callers outside of Canada and the United States, call collect at 613‑940‑8497
Please have the screen number (bottom right) and, if applicable, the error number and message received on hand when calling.
The Excise and GST/HST News is published quarterly and highlights recent developments in the administration of the GST/HST, the QST for SLFIs, the First Nations goods and services tax (FNGST) and the First Nations tax (FNT), the air travellers security charge (ATSC), the underused housing tax, the fuel charge, and the luxury tax as well as excise taxes and duties. If you would like to receive a link to each new edition of the Excise and GST/HST News as it is published, subscribe to the electronic mailing list. This publication is provided for information purposes only and does not replace the law, either enacted or proposed. Please note that any commentary in this newsletter regarding proposed measures should not be taken as a statement by the CRA that such measures will in fact be enacted into law in their current form. Comments or suggestions about the newsletter should be sent to the Editor, Excise and GST/HST News, GST/HST Rulings Directorate, Legislative Policy and Regulatory Affairs Branch, CRA, 5th Floor, Place de Ville, 320 Queen Street, Ottawa K1A 0L5.