You could get a Home Buyers’ Tax Credit (HBTC) when you purchase your first home.
The HBTC is calculated by multiplying the lowest personal income tax rate for the year (15% in 2009) by $5,000. For 2009, the credit will be $750.
You will qualify for the HBTC if all the below applies to you:
- you did not live in another home owned by you or your spouse or common-law partner in the year of acquisition or in any of the four preceding years.
- you intend to occupy the home as a principal place of residence no later than one year after it is acquired.
When you file your taxes, you’ll be able to claim your tax credit. No documentation is required, but it should be available if the Canada Revenue Agency requests it.
This is just one program that benefits first time home buyers. To make the most of your new purchase, you should speak to someone with experience in this field because you never know what extra benefits you can get. Contact me now to get a personalized solution to your unique situation.