Home Renovation Tax Credit
One of the new measures introduced by the 2009 federal budget was the Home Renovation Tax Credit. This non-refundable tax credit can be claimed if you make certain renovations to an eligible residence after January 27th, 2009 but before Feb.1, 2010. The credit will apply to expenditures over $1,000 but not more than $10,000. This results in a maximum credit of $1350 ($9,000 x 15%).
This tax credit will not be available for expenditures made in between January 27th 2009 and February 1, 2010, if the expenditure is made pursuant to an agreement entered into before January 28th, 2009. Eligibility will be family-based, which will generally consist of an individual, a spouse or common-law partner and children under the age of 18 throughout 2009. Any unused credit can be shared amongst family members, but cannot exceed the maximum amount for the family.
Eligible dwellings will generally include a house, cottage or condominium if it is used for personal purposes. Business or rental properties do not qualify. Eligible expenditures are renovations or alterations of an eligible dwelling provided the renovation or alteration is of an enduring nature. Routine repairs and maintenance will not qualify. Eligible expenditures include:
o Renovating a kitchen, bathroom, or basement
o New carpet or hardwood floors
o Building an addition, deck, fence or retaining wall
o A new furnace or water heater
o Painting the interior or exterior of a house
o Resurfacing a driveway
o Laying new sod
Ineligible expenditures include:
o Furniture and appliances
o Purchase of tools
o Carpet cleaning
o Maintenance contracts (furnace cleaning, snow removal, lawn care, pool cleaning, etc.)
Therefore, if you were thinking about doing any home renovations now is the time to get on with it. Since this is a temporary tax credit, it would make sense to take advantage of it while it is available and defer contribution to a Tax Free Savings Account or RESP to 2010, as you can catch up on those contributions in future years.
70 Comments | Posted in Tax Planning
November 10, 2009
68 Comments for this entry
-
Duncan Otremba November 4th, 2010 on 12:23 am
but I thought you could tell me how to do that!!
-
Engrossing piece. I know I’m a little late in posting my comment but the blog made a lot of sense and I enjoyed it. I can’t say that I agree with all the points you made but it was emphatically engrossing! I run a small US company that manufactures a line of political gifts that commemorate the people and events of American politics so I hope you don’t mind me including my link in this post. I’m always looking to promote my American made products. I still believe America just keeps getting better and better in spite of our current difficulties. I’m not sure if my earlier post was received so I’m trying again. BTW… I’m a frequent visitor to your blog and will be back soon. Thanks again for a great blog post!
-
Thanks very much for your great comments Bill. You have a very interesting business and I wish you all the best promoting American made products.
-
Not quite on topic BUT really important: Please guys, donate something for Haiti! I just came back from a trip down there and I have to say the situation is really terrible! It´s soon christmas time, so please be so kind and do something good! Thanks
-
Great synopsis of commenting and how to very well written and all that link love you just poured out, great post, if this was a forum you would have a sticky on this.
-
Excellent post, its amazing that its necessary really but it is. I think Iarfhlaith’s point about bigger buttons attracting more comments is very true.
-
I wonder if that’s one of the reason that people don’t post comments? That even though you might like what someone writes, you’re not sure how to reply?
-
Hello to all, I can’t understand how to add your site in my rss reader. Help me please. Your blog looks good, have a good one.
-
Hi Darnell,
You can try the RSS feed button on the top right hand corner.
Thanks.
-
Great post, very informative, hopefully it will being some of those lurkers out into the open.
-
I know, its not quite on topic, but: Please dont forget to donate for Indonesia!!!! I just talked to somebody down there and the situation is really insane! We need to help those people because we are the ones whoc causes natural disasters with the green house effect! So please donate something, every cent helps! I just did the same…
-
I know I’m a little late in posting my comments but this particular blog post made a lot of sense to me and I enjoyed it. It wasa fascinating article. I have become a frequent visitor to your blog since I came across your blog a while back. I can’t say that I agree with all you mentioned but it was emphatically enlightening! I run a small US company that arranges financing for businesses in the Houston market. You could say I focus in Houston hard money and Houston commercial financing and deal with folks that banks won’t deal with anymore. I’m trying to create American jobs so I hope you’ll permit me including my link in this post. I’m always seeking to promote our truly unique service and am the sort who still believes America keeps getting better and better in spite of our current difficulties. I’m not sure if my other post went through so I’m attempting again. Thank you again for an engrossing article. I will return again soon.
-
I wouldn’t say I’m in agreement with all the comments here but I always find political discussion intriguing! I’m so into politics I even my own website about the topic. In you like Ronald Reagan Quotes, you’ll like it! Check out my website sometime.
-
I can’t say I’m in agreement with the other commenters here but I always find political discussion absorbing! I’m so into politics I even my own website about the topic. In you like Ronald Reagan Quotes, you’ll like it! Come visit my website sometime. Something happened with my previous post so I’m trying agin.
-
I wouldn’t say that I agree with all the comments here but I always find political discussion enlightening! I’m so into politics I even my own website about the topic. If you like Ronald Reagan Quotes, you’ll like it! Check out my website sometime. Something happened with my previous post so I’m trying agin.
-
I love that blog layout ! How did you make it? It’s very good!
-
Definitely, what a magnificent site and informative posts, I surely will bookmark your website.Best Regards!
-
Keep working ,great job!
2 Trackbacks / Pingbacks for this entry
-
How Can You Lose Weight And Save Money At The Same Time? | find-it-hereonline.com, November 22nd, 2009 on 5:30 pm
[...] Home Renovation Tax Credit [...]
