Purchasing a home, especially your first, is a big decision and a major financial commitment. But did you know that Canada’s Economic Action Plan (EAP) can help with the First-Time Home Buyers’ Tax Credit (HBTC)?
The HBTC assists first-time home buyers with the related costs, such as legal fees, disbursements and land transfer taxes, which are a particular burden for first-time home buyers who must also save for a down payment. If you qualify, you may claim up to $5,000 on your Income Tax Return.
You may also be eligible for the HBTC if you purchase a home that is more accessible or better suited to the personal needs and care of an individual who is eligible for the Disability Tax Credit.
How will I claim the HBTC?
Beginning with the 2013 personal income tax return, line 369 is incorporated into the Schedule 1, Federal Tax to allow you to claim the credit in the year in which you acquired the qualifying home.