The BC GST for a property is a 5% Federal tax that is payable on the sale of brand new properties in British Columbia. This means newly constructed properties sold by a developer or an owner builder. This also means that presale condos that are both bought from the developer or from another investor as an assignment of contract are subject to BC GST.
When you’re paying GST on real estate in BC, for residential properties (excluding used), the tax rate is 5%, subject to any rebates.
In most situations where GST is applicable for a home purchase, you will need to factor in the purchase price PLUS 5% GST.
The following are the most common real estate situations that would be subject to GST:
- Presale Purchase (typically Condo or Townhome)
- New Construction Home
- Assignment of Contract of a New Home
- Substantially Renovated Residential Home
- New Mobile & Floating Homes
- Sale of Vacant Land