Tuesday, January 31, 2017

First-Time Home Buyers’ Tax Credit

 To assist first-time home buyers with the costs related to the purchase of a home.

 • The First-Time Home Buyers’ Credit (FTHBC) provides a 15 percent credit on a maximum of $5,000 of home purchase costs (e.g. legal fees, land transfer taxes, etc.), meaning maximum tax relief of $750. • Applicable to first-time buyers purchasing a home closing after January 27, 2009.

• The FTHBC is claimable for the taxation year in which the home is acquired.

• An individual will be considered a first-time home buyer if neither the individual nor the individual’s spouse or common-law partner owned and lived in another home in the calendar year of the home purchase or in any of the four preceding calendar years. First-time home buyers may be eligible for a 15 percent income tax credit for closing costs.