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First-time home buyers' GST rebate: 7 reasons a claim is delayed or refused

Short answer

Allow about 120 days. The CRA says that from May 11, 2026 it is processing a higher than usual volume of housing rebates, first in, first out. Beyond the wait, claims fail for a few repeated reasons. Incomplete forms. An incorrect calculation. Missing documents. A purchase agreement signed before May 27, 2025. A spouse who already used the rebate. A home that will not be your primary residence. A builder who already credited the rebate at closing.

Rex Tax Inc. · Information checked against official sources. Last updated October 2, 2026 · Published October 2, 2026

Who this is for

First-time buyers of a newly built home in BC who have applied for the federal rebate or are about to. Also anyone whose builder has offered to credit it at closing.

The seven reasons

  1. Incomplete forms. The CRA names this first. Every section of the GST190, or GST191 for an owner-built home, must be complete.

  2. A wrong calculation. The rebate is 100% of the GST, up to $50,000, for a home valued up to $1 million. It is reduced on a straight line between $1 million and $1.5 million, and nil above. A calculation that does not match the price is sent back.

  3. Missing documents. The purchase agreement, the statement of adjustments, proof of occupancy. Missing one restarts the clock.

  4. The agreement date. The purchase agreement with the builder must be dated on or after May 27, 2025. An earlier presale contract does not qualify, however late the completion.

  5. A spouse who already claimed, or does not qualify. Once per lifetime, one claim per couple. The first-time test applies to both spouses. Neither can have lived in a home either of them owned in the year of purchase or the four years before.

  6. Not your primary residence. The home must be bought to be your primary place of residence, and you must be the first to occupy it. An investment unit does not qualify.

  7. The builder already credited it. Many builders apply the rebate at closing and claim it from the CRA themselves. If that happened, a second application from you will be refused. Check the statement of adjustments.

One thing many people do not realize

The rebate can be claimed once in a lifetime, and spouses cannot both claim it. If your spouse or common-law partner used it on an earlier new home, or does not qualify as a first-time buyer, the claim is affected. Couples who assume one qualifying buyer is enough need to check the rules before they count on the money.

What to prepare

  • The purchase agreement with its date
  • The statement of adjustments from your lawyer or notary
  • Proof of age and of Canadian citizenship or permanent residence
  • Whether a spouse is on title and their prior ownership history
  • Confirmation of whether the builder credited the rebate

When professional help may make sense

Presale assignments, a spouse added to title late, or a home that was briefly rented before you moved in. Each can change eligibility.

How Rex Tax may be able to help

We check every condition before the application goes in, prepare it, and track it. Our guide on first-time home buyer programs covers the FHSA, Home Buyers’ Plan and BC’s transfer tax exemption as well.

Official sources

Related guides

This guide is general information, not advice about your situation. It reflects the rules for the 2026 tax year. It has not yet been reviewed by a practitioner. The information was checked against the official sources listed above on the date shown. Rules change. Check the official sources above or ask us. How we prepare these guides.

Claiming the rebate on a new home?

Bring the purchase agreement and closing documents. We check eligibility against every condition, prepare the application, and tell you what to expect. Help is available in English and Punjabi.

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