The Home Renovation Tax Credit will provide a one-year, temporary 15% income tax credit on eligible home renovation expenditures for work performed, or goods acquired between January 27, 2009 and February 1, 2010.  The credit may be claimed on eligible expenditures exceeding $1,000 but no more than $10,000. This includes work performed (labour) or goods/services acquired (ie materials and blueprints).

Before homeowners, homebuyers, and local construction and building supply workers can benefit from these new initiatives, Parliament must pass the 2009-2010 Federal Budget.

This tax credit specifically includes the purchase of materials for work such as:
· Renovating a kitchen, bathroom or basement
· New carpet or hardwood floors
· Building an addition, deck, fence or retaining wall
· A new furnace or water heater
· Painting the interior or exterior of a house
· Resurfacing a driveway, and
· Laying new sod
A new non-refundable tax credit worth a maximum of $1350 (calculated as 15% on home renovation projects between $1,000 and $10,000) will be available for work performed or goods acquired after Budget Day and before Feb. 1, 2010 to personal residences ordinarily inhabited by the individual, spouse or common-law partners and their minor children.
 
The credit will apply to expenses in the period January 27, 2009 and before February 1, 2010. (If agreements for work were entered into before January 27, the expenditure will not qualify).
Eligible expenses will include renovations that are of an enduring nature and integral to the eligible building, including labour costs and professional services, building materials, fixtures, equipment rentals and permits.
Not eligible are the purchase of tools, routine repairs, appliances, audio-visual electronics, furniture or drapes and maintenance contracts (ie lawn care, snow removal).
 
Unused portions of the credit can be transferred between spouses. Families who share ownership of a dwelling can each claim their own credit, but each family's credit will be determined by their respective expenses over $1,000 but not more than $10,000.

Note: Info from various Gov. Web sites. Check for additional info. Contact tax consultant to verify eligibility of specific aspects/ project.

Projects