April 27, 2010

Will a New Sales Tax Influence Your Home Renovation Decisions?

The Harmonized Sales Tax (HST) is certainly causing quite a stir. Most homeowners are still unsure about how and when the transition will occur. Here is some information provided to us by  the Siding and Window Dealers Association of Canada (SAWDAC) , explaining in better detail how things will occur here in Ontario with the Goods and Services Tax (GST) and the new, HST tax.

• If a contract is signed before May 1, 2010, old rules apply. Charge only GST.
• If a contract is signed after June 30, 2010, new rules apply. Charge HST.
• If a contract is signed between May 1, 2010 and June 30, 2010, and work is completed before June 30, 2010, old rules apply. Charge only GST.
• If a contract is signed between May 1, 2010 and June 30, 2010, and work is completed after July 1, 2010, new rules apply. Charge HST.

We hope that this helps settle any questions you may have about how the Government is planning to implement the HST in regards to Home Renovations.