Home Renovation Tax Credit (HRTC)
September 27th, 2009 Posted in Taxes
What is The Home renovation Tax Credit?
The HRTC is a non-refundable tax credit that allows you to recover a portion of your eligible renovation expenses as tax credits.
Who can claim or eligible for the HRTC?
The HRTC is based on family. Each family can claim one HRTC tax credit. If more than one family owns eligible dwelling, each family can claim its own – up to $1,350 each.
How is the Home Renovation Tax Credit calculated?
The HRTC is a 15% non-refundable tax credit that can be claimed on eligible expenditures more than $1,000 but less than $10,000. The maximum tax credit will be $1,350
How long is the eligibility period?
Eligible works performed or goods acquired from January 27, 2009 to February 1, 2010 under an agreement made after January 27, 2009.
What are eligible dwellings?
Dwellings that are principle residence, such as home, condo, cottage etc used by you, your spouse, common-law partner, and children.
What are some examples of eligible expenses?
Renovating a bathroom, basement, or kitchen.
Installing a new fireplace, windows, or water heater
Building a garage, deck, or fence
What are some examples of non-eligible expenses?
Buying Furniture, appliances, electronics, etc.
Carpet cleaning, house cleaning, etc.
Financing costs
For more information, please visit www.cra.gc.ca/hrtc or call 1-877-959-1-CRA.
Non-Refundable Tax Credit: A non-refundable credit is a tax credit that can reduce your tax liability to zero, but can’t be used to get a refund.
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4 Responses to “Home Renovation Tax Credit (HRTC)”
By renovation on Sep 27, 2009
You will need to think outside of the box when planning ahead for your kitchen renovation. You might not normally use the top of your dryer as counter space, but that may be precisely what you have to do until the kitchen remodeling project is complete. If you have two bathrooms, designate one as the “kitchen” where all of your dishwashing is done.