Is GST charged on resale homes in BC or only new construction?

Direct answer

GST applies on NEW (or substantially renovated) residential housing in BC at 5%, but is generally EXEMPT on resale used residential housing under the federal Excise Tax Act. The line between "new" and "used" turns on whether the home has been "previously occupied as a place of residence" — the first sale by a builder of a never-occupied home is GST-taxable; subsequent resales are exempt. "Substantial renovation" (≥90% of the interior gutted and rebuilt) re-triggers GST as if the home were new. Three less-obvious resale scenarios: (1) presale assignments — effective May 7, 2022, every assignment of a new-construction purchase contract is GST-taxable on the assignment fee (the markup over the deposit) under the Budget Implementation Act, 2022. (2) builder spec homes that the builder briefly occupied — CRA scrutinizes "lived in by the builder for tax purposes" structures; documented owner-occupancy by the builder for ≥1 year typically converts the home to GST-exempt resale, but very short occupancies are challenged. (3) homes converted from commercial use (e.g., a former office converted to residential) trigger GST on the first residential sale. The federal GST New Housing Rebate (36% of GST paid, max $6,300, full rebate to $350K phasing out to zero at $450K) only applies to NEW housing — not to resale.