home buyer tax credit – tax tip

Every credit counts

Take advantage of the Home Buyers Amount Tax Credit, if home ownership became a reality for you in 2020. Now that the New Year is in full swing, it’s a reminder that April 30th (income tax filing deadline) will be here before we know it. If you purchased a home last year and are looking for ways to reduce the amount of taxes you owe, this may be an option for you.

Home Buyer Tax Credit Qualifiers

To qualify, there are two specific criteria that you must meet;

• you or your spouse or common-law partner acquired a qualifying home; and
• you did not live in another home owned by you or your spouse or common-law partner in the year of acquisition or in any of the 4 preceding years (first time home buyer)

The Numbers Are In

Don’t leave any of your hard earned money on the table, take advantage of this tax credit and claim up to $5000. Line 31270 – is where you’d claim this amount on your income tax return. Visit the Canada Revenue Agency for further details.

Now that you have your tax refund amount figured out, the planning begins as to how to spent it. Why not have a look at one of our posts that speaks to the ways you can put your income tax refund to good use, specifically taking advantage of your prepayment options. This is one of the benefits of working with our team, not only do we try to find you the best rate but also look ahead at options that may help you pay off your mortgage sooner.

If you have any questions, don’t hesitate to give us a call, we’re happy to help!