Goods and services tax started in the year 2000, just two months before the Olympics kicked off!
GST is something we have to be careful of; If it’s on a residential property and it is your property, you do not have to pay any goods and services tax. This applies to all residential property, not just your primary residence.
However, if you are a developer; if you have a piece of land and build a few blocks or a duplex on it, you become a developer; as such, you’re subject to Goods and services tax!
Commercial and industrial properties are subject to GST. However, rural properties are not subject to this tax.
If you’re buying an office, factory, story unit, or industrial complex, you are subject to GST. When you are selling the property, you can put the price plus GST on the contract or include the GST in the purchase price. Often, your property is more saleable with the price inclusive.
Please note that there is an exemption for properties that are a going concern; if a business operates from it, you are GST free. Put a lease on the property, and it is tax-exempt!