First time home buyer’s tax credit

Program : First-time home buyers may be eligible for a 15 per-cent income tax credit
for closing costs.

Detail

1. To assist first-time home buyers with the costs related to the purchase of a home.
2. The First-Time Home Buyers’ Credit (FTHBC) provides a 15 percent credit on a maximum of $5,000 of home purchase costs (e.g. legal fees, land transfer taxes, etc.), meaning maximum tax relief of $750.
3. Applicable to first-time buyers purchasing a home closing after January 27, 2009.
4. The FTHBC is claimable for the taxation year in which the home is acquired.
5. An individual will be considered a first-time home buyer if neither the individual nor the individual’s spouse or common-law partner owned and lived in another home in the calendar year of the home purchase or in any of the four preceding calendar years.