Comments on: What You need To Know About The Home Renovation Tax Credit

By: Tax Guy

Tax Guy — Thu, 23 Jul 2009 02:41:21 +0000

@ Carol

The HRTC was designed to stimulate a depressed economy by encouraging peopel to “continue” to renovate properties. While this may affect property values, I’m not sure it would have that much impact.

The HRTC is a dollar for dollar reduction in tax payable as opposed to an addition to income. There would be no future clawback.

By: Carol Shanks

Carol Shanks — Thu, 23 Jul 2009 01:37:43 +0000

I too am concerned about the implication the home renovation tax credit may have for future increase in my property tax…AND/OR on personal income tax. Is it the $1,350 (or any part thereof) is added to my ‘income’ and therefore I’ll be ‘taxed’ on the credit at a future date?? I’m not aware of the ‘government GIVING anything to taxpayers without a ‘claw’ attached to the ‘gift’….

By: Tax Guy

Tax Guy — Wed, 15 Jul 2009 20:06:16 +0000

@ Tom:
As long as it was your principal residence at the time the renovations were done and it was during the eligible period.

By: Tom Cotie

Tom Cotie — Wed, 15 Jul 2009 20:01:33 +0000

If I incurred eligible expenses on my principal residence after February 2009 and then sold my home and bought another or rented would the expenses still be deductable.

By: Tax Guy

Tax Guy — Mon, 15 Jun 2009 14:47:15 +0000

@ Dan:
Highly unlikely. MPAC is an Ontario provincial government entity and the CRA is federal. There is no sharing of information unless you have specifically allowed it.

By: Dan

Dan — Mon, 15 Jun 2009 13:15:45 +0000

Any chances MPAC could use the HRTC data as ammunition to raise property tax rates against those who filed a claim?

Some folks are concerned that HRTC filers could be targeted for premium increases based on them “bettering and improving” their properties.