Mr. Speaker, Bill C 56, the Affordable Housing and Groceries Act, would enhance the goods and services tax, or GST, rental rebate on new rental housing, to incentivize the construction of more apartment buildings, student housing, and senior residences. This enhancement increases the GST rental rebate from 36% to 100% and removes the existing GST rental rebate phase out thresholds for new purpose built rental housing projects.
The measure also removes a restriction in the existing GST rules to ensure that public service bodies such as hospitals, charities, and qualifying nonprofit organizations that build or purchase purpose built rental housing are permitted to claim the 100% GST rental rebate.
The enhanced GST rental rebate would apply to projects that begin construction on or after September 14, 2023, and on or before December 31, 2030, and complete construction by December 31, 2035.
In processing parliamentary returns, the Department of Finance applies the Privacy Act and the principles set out in the Access to Information Act, and certain information has been withheld on the grounds that the information constitutes cabinet confidence.