Buying a Home & Your Taxes
This section provides information for individuals who wish to buy a home and topics to help current homeowner.
Home Buyers Amount (HBTC)
A claim for $5000.00 can be made for the Home Buyers Amount (HBTC) on Line 369 of the Schedule 1, if:
1.you or your spouse or common-law partner acquire a qualifying home after January 27, 2009, (closing after this date); and
2.you did not live in another home owned by you or your spouse or common-law partner in the year of acquisition or any of the four preceding years (first-time home buyer).
A qualifying home can be considered one of the following:
- single-family houses;
- semi-detached houses;
- mobile homes;
- condominium units; and
- apartments in duplexes, triplexes, fourplexes, or apartment buildings.
Best of all there is No HST to be paid on Resale Homes…..click here
Home Buyers’ Plan (HBP)
The Home Buyers Plan (HBP), as of January 27th 2009 allows for you to take up to $25,000 from your Registered Retirement Savings Plan (RRSP) to purchase a qualifying home for yourself or relative with a disability. If you buy a house with your spouse or common law partner, you may both be eligible to withdraw up to $25,000 from your RRSP.
This withdraw is subject to re-payment, or inclusion in your income.
PROCEDURE FOR WITHDRAW:
First, you must complete; Form T1036, Home Buyers Plan Request to Withdraw Funds:
Secondly, beginning in the year you make your first withdraw, and every year thereafter until you have repaid the funds or included them in your income, you must file a completed tax return.
To determine your eligibility, and to learn more please read Guide RC4135:
Guide RC4135, Home Buyers’ Plan (HBP)
GST/HST New Housing Rebate
The New Housing Rebate allows you to recover a part of the GST/HST that you paid on the purchase price or cost of building a new, or substantially renovated house.
What type of housing qualifies?
These types of housing qualify for the rebate:
- a house that you built, substantially renovated or on which you built a major addition on land that you own or lease (you can do the work yourself or hire someone to do it);
- a new mobile home (this includes a modular home) or a new floating home that you bought from a builder (this includes a vendor);
- a new or substantially renovated house (including a condominium unit) that you bought from a builder (building and land);
- a new or substantially renovated house that you bought where you lease the land from the builder under the same agreement to buy the house and the lease is for 20 years or more, or gives you the option to buy the land;
- a share of the capital stock in a co-operative housing corporation (co-op) that you bought; or
- a non-residential property that you converted into your house
You will need to complete Form GST190, or Form GST191. Please see the reference guide to determine which forms are needed for your situation.