- Canadian Tax Resource Blog - http://blog.taxresource.ca -

Time Is Almost Up for HRTC

Sunday January 31, 2010 marks the end of the Home Renovation Tax Credit. The Government of Canada has decided not extended the HTRC. Therefore, you only have a short time to take full advantage of the HRTC and then it’s gone.

Buy Your Materials Now!

Your purchases of eligible expenses before the January 31st deadline will still qualify for the HRTC even if they are installed after January 2010. If your eligible expenses involve work performed by a contractor or a third party, and the work is not completed by January 31st, only the portion that is completed before February 1, 2010 will qualify even if a payment has been made.

How Much Is the Credit?

The HRTC is 15% of eligible expenses over $1,000 to a maximum of $10,000. Therefore, the maximum credit that may be claimed is $1,350.

What Are Eligible Expenses?

Generally, if you have renovation or alterations to your principal residence, then the expenses will qualify. In addition, the expenses must be enduring in nature and integral to the home.

Here are some examples from the CRA of things that may qualify for the HRTC:

Examples of expenses that do not qualify:

Expect Long Lines At Your Building Store

You should expect home improvement stores such as Rona [1] and Home Depot [2] to be busy this weekend so patience will be needed. Also Home Depot [2] has announced that many stores will be open late this weekend.