Tax Break for New Buyer’s

 

FEDERAL FIRST TIME HOMESOWNER’S TAX CREDIT STILL AVAILABLE

In 2009 the federal government introduced a new tax line in the personal income tax return allowing a credit for first time home owners.  This is exactly what the government should be doing.  Helping people live the Canadian dream, and become a homeowner.   And hey who knows maybe that credit will buy you a new couch!

The credit comes by multiplying the lowest personal tax rate for the year the home is purchased by $5,000.  The maximum credit for 2010 will be $750. 

To qualify you must buy a home in Canada, (if you can buy a vacation home on a tropical island for your first house please invite us!), the home can be any type of dwelling (condos, town homes, duplex, triplex ….) even co-operative housing, however a share that only provides right of tenancy will not be included.  You will also not be considered a first time home owner if you or your spouse/ common law partner has purchased a new home in the same calendar year, or four calendar years preceding.   The buyer must intend to occupy the home no later than one year after purchase.  

Any unused portion of the credit may be claimed by your spouse or your common law partner. 

 

Details are best explained on the Governments Website, check it out:

 

http://www.cra-arc.gc.ca/gncy/bdgt/2009/fqhbtc-eng.html

 

We, The Axfords, have helped many first time buyers through the purchase of their new home. It is an exciting, and nerving process and we would be honoured to be your Realtors. 

 

The Axfords,

Prudential Sterling Realty.