| Death and taxes are said to be the only two sure | | | | If you are dancing in front of your computer |
| things in life, and in Canada we are very familiar | | | | screen in joy because you realize you don't have |
| with the latter of those two. The social programs | | | | to pay the GST on your home purchase, as the |
| that many say define us as a country call for | | | | condo is not considered new, do not think that |
| some significant charges on citizens in the form of | | | | you are off totally free. The GST is also added to |
| taxes, one of which is the much maligned Goods | | | | many of the services you will need in order to |
| and Services Tax. | | | | take possession, including lawyer's fees, |
| The GST is not just hated because it is another | | | | processing fees, and as part of your house |
| tax, but because of the ambiguity with which it is | | | | insurance. That means that everyone will have to |
| charged. Not many people are really sure when | | | | pay, and new condo owners in particular will pay a |
| they will need to pay the GST on a purchase, | | | | lot of GST when it is all added up. |
| although for the most part we take it for granted | | | | Some good news |
| that we will have to pay it. | | | | There is some good news for new homeowners |
| For new homeowners, the subject of the GST is | | | | and for everyone in Canada on the GST front. |
| particularly touchy. No matter what percentage of | | | | The federal government recently announced that |
| a tax is applied to a new home, it can add up to a | | | | it would be cutting the GST by one percent, |
| substantial amount of additional money. Let's take | | | | down now to 5% of the total purchase cost, |
| a look at where you need to factor in GST when | | | | effective January 1 2008. While the average |
| you buy a new condo. | | | | person might gripe that a one percent slash is not |
| You will pay GST when... | | | | much, it certainly can add up when a major |
| The rules about GST in application to the | | | | purchase such as a new home is considered; that |
| purchase of condominiums are fairly specific. | | | | can mean a savings of $3000 for the average |
| Those who purchase new homes or homes that | | | | Canadian home! |
| have seen extensive renovations can expect to | | | | Taxes are inevitable, and if you are buying a new |
| pay this tax. Please note that new homes is not a | | | | condo you need to be aware of the additional |
| term relative to the buyer; it specifically deals with | | | | costs added due to the GST both on the |
| condos that have been newly constructed. | | | | purchase and transactions for the purchase of |
| But don't forget! | | | | your home. |