CRA Assessed You as a Builder for GST/HST? Fight Back!
CRA Assumes You’re a Builder & Hit You with GST/HST? Capital Tax Law Fights for You. Get a FREE Consultation Today!
Being labeled a “builder” by the CRA for GST/HST purposes can be a frustrating surprise, especially if you’re not one! Whether you’re a contractor, renovator, or simply someone who sold a renovated property, Capital Tax Law can help.
Facing a Wrongful "Builder" Assessment? Here's Why We're Your Ally:
Experts in Misclassificatio
We've helped numerous individuals fight back against incorrect builder assessments from the CRA. We understand the nuances of construction and GST/HST.
Challenge the CRA's Logic
We'll analyze your situation and build a strong case to demonstrate you don't qualify as a builder for GST/HST purposes.
Save Time & Money
Don't get bogged down in complex tax battles. Let our team handle the negotiations with the CRA so you can focus on your business or personal life.
Free Consultation? Absolutely!
Don’t let a mistaken builder assessment disrupt your plans. Schedule a FREE consultation with Capital Tax Law today and discover how we can help you achieve a fair outcome.
Who is a "Builder" for GST/HST purposes in the eyes of CRA?
For GST/HST purposes, the CRA considers someone a “builder” if they’re involved in the construction or substantial renovation of residential properties. This can include:
Contractors
Individuals or companies hired to build new homes or additions.
Renovators
Those who perform extensive renovations on existing properties.
Flippers
Individuals who frequently buy, renovate, and sell properties for profit.
When Can You Be Assessed as a Builder by the CRA?
Here’s where things can get tricky. The CRA may consider you a builder for GST/HST purposes in several situations:
Frequent Flipping
If you regularly buy properties, renovate them extensively, and then sell them for a profit, the CRA might classify you as a builder. This is especially true if you hold yourself out as a "flipper" or renovation specialist.
Substantial Renovations
While selling your own renovated home is usually exempt, the level of renovation can raise questions. The CRA considers renovations "substantial" if 90% or more of the interior is removed or replaced (excluding structural components). Extensive renovations on multiple properties could trigger a builder assessment.
Construction-Like Activities
If you're involved in activities that go beyond basic renovation, like building additions or completely gutting a property, the CRA might classify you as a builder.
Missed GST/HST Registration
If you're genuinely a builder but haven't registered for GST/HST, the CRA may reassess you and impose penalties.
Renovated & Sold? You Might Not Be a Builder!
Thinking a major renovation automatically makes you a builder for GST/HST? Think again! Generally, selling your own renovated home is exempt. However, the CRA might have other ideas if you frequently buy, renovate, and sell properties.
Not Sure If You Qualify as a Builder? We Can Help!
Thinking a major renovation automatically makes you a builder for GST/HST? Think again! Generally, selling your own renovated home is exempt. However, the CRA might have other ideas if you frequently buy, renovate, and sell properties.
Contact Capital Tax Law Today & Breathe Easier!
Facing the CRA alone can be stressful. But with Capital Tax Law on your side, you have a strong advocate. Contact us today and let our team of tax experts fight for a fair resolution!