alecdl
New Member
I took a job out of province and in the meantime my condo was ready for occupation but i will not be able to move in quite yet. Is it true if you rent out your unregistered condo the builder could come after you for the g.s.t.
|
|
|
Renting out your unregistered condo
- Thread starter alecdl
- Start date
Solaris
Senior Member
the could legally ... cuz GST exemption only applies to properties for your residence (excludes investment properties, when you rent out your place it is seen as an investment property by default)
but the flip side is ... if you rent it out discretely then the builder doesn't find out ... then I think you can get off the hook~ this is similar to people undertake renovatation work to their during the occupancy period (which is not allowed), but if they don't catch you there's no problems
thoughts anyone ??
but the flip side is ... if you rent it out discretely then the builder doesn't find out ... then I think you can get off the hook~ this is similar to people undertake renovatation work to their during the occupancy period (which is not allowed), but if they don't catch you there's no problems
thoughts anyone ??
Granny
Active Member
This is interesting stuff!
What exactly counts as 'renovation'?
We don't plan to move into our place when we take possession for about a year. We plan to to paint..a lot. Perhaps put in coving at the ceiling. Looking at possibly putting in a wall. We sure as hell are not having the builder do it. They have ripped us off enough and we have had enough of them as far as we are concerned. With the way we have been treated so far our quality expectations are lowwww. We are not waiting forever for them to do the repairs to the workmanship which we fully expect to be shoddy( based on attitudes we have seen so far). We are more than prepared to A. Fix things ourselves. B. Call in contractors to make things right. Of course we will have them deal with problems first, then we expect to repair their 'repairs'.
Just what in hell are they gonna do to to us at this point? Throw us out???
Ya right.
They already have an upcoming lawsuit coming their way. I would love to see them try.
What exactly counts as 'renovation'?
We don't plan to move into our place when we take possession for about a year. We plan to to paint..a lot. Perhaps put in coving at the ceiling. Looking at possibly putting in a wall. We sure as hell are not having the builder do it. They have ripped us off enough and we have had enough of them as far as we are concerned. With the way we have been treated so far our quality expectations are lowwww. We are not waiting forever for them to do the repairs to the workmanship which we fully expect to be shoddy( based on attitudes we have seen so far). We are more than prepared to A. Fix things ourselves. B. Call in contractors to make things right. Of course we will have them deal with problems first, then we expect to repair their 'repairs'.
Just what in hell are they gonna do to to us at this point? Throw us out???
Ya right.
They already have an upcoming lawsuit coming their way. I would love to see them try.
AKS
Senior Member
renovation is doing anything to the apartment yourself which the builder didn't do. The only thing they provide for you is a small paint for touch ups maybe. They have a clause for people who do renovate though to protect themselves. It says they are only responsible for things the builder put up and anything else you put up or change and gets damaged, they are not responsible for.
Granny
Active Member
Bloor West Villager
Active Member
The builder is legally required to collect the GST rebate from you and remit this to CRA if they know you are not living in your unit. You can get away with it if the builder isn't aware, but you would be committing tax fraud because you would no longer be eligible for the rebate under CRA rules.
rbt
Senior Member
Speak with your lawyer. I expect there is a time period where you may rent it out prior to moving in provided you do eventually consider it your primary residence within N years of either occupancy or registration.
Pretty sure the land transfer tax rebates (first time buyer) and New Home Buyer RRSP plans also have an allowance of ~1 year from registration. You should confirm this with your lawyer.
You are typically required to sign an affidavit with your lawyer stating you are eligible for the GST rebate who passes it along to the builder who submits it to the government. Your lawyer, the builders lawyer, and the government frown on lying on affidavits -- much more so than tax fraud.