The provincial government has passed legislation to combine the eight percent Provincial Sales Tax with the five percent federal Goods and Services Tax, creating a 13 percent Harmonized Sales Tax (HST).

Starting July 2010 Ontarions must expect to shell out an extra 8% tax as the new Harmonized Sales Tax(HST) will take effect. This will hit hard on most consumers specially those buying or selling homes. The government can get away with this tax grab because consumers have not taken much action.

The provincial government has announced some proposed changes to the way it would apply the proposed Harmonized Sales Tax (HST) to the purchase price of newly constructed housing. The provincial government has also announced proposed transitional details for newly constructed properties.