Liberals Confirm They Will Honour The HRTC

by Tax Guy - Burlington Accountant on September 9, 2009 Print This Post Print This Post

Last Wednesday I pointed out that the Home Renovation Tax Credit had not been introduced into parliament. If the government were defeated in a vote of non-confidence the tax credit would die unless introduced by a new government.

I asked Liberal Finance critic John McCallum to comment on his party’s position on the HRTC if they were defeat the Conservative government. In a an e-mail response, he confirmed that the Liberals would honour the HRTC if elected.

Mr. McCallum’s Response

mccallum

Thank you for taking the time to write to me.

The quick answer is that yes, Michael Ignatieff has said that the Liberal Party would fully honour the Home Renovation Tax Credit if it is left up to a subsequent parliament to do so.  It should therefore be in place by the time Canadians begin filing their income taxes next March even if an election occurs between now and then.

Last Spring, at the Government Operations Committee, an Associate Deputy Minister of Finance confirmed that this would be a relatively easy thing for a future parliament to do if the 40th parliament did not manage to pass it.

Incidentally last Winter I urged the government to implement the tax credit as soon as possible so that Canadians could be absolutely certain about what types of renovations and expenditures would qualify for the tax credit. 

Thank you again for taking the time to write.

Sincerely,
John McCallum
MP for Markham-Unionville

The Position of The Conservatives

According to media reports, the Conservatives intend to introduce the credit in the upcoming fall session of Parliament. I e-mailed Finance Minister Jim Flaherty to comment on the specifics but have not yet had a response.

About The Tax Guy...

Dean Paley CGA CFP is a Burlington accountant and financial planner who services individuals and business owners locally, nationally and internationally. Dean has appeared in the National Post, Toronto Star and Metro News.

To find out more, visit Dean's website Dean Paley CGA CFP or connect via Twitter @DeanPaleyCGACFP.

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