When you purchase a home as a first time home buyer, you have a third benefit on top of the First Time Home Buyers’ Program and the Home Buyers Program- the Home Buyer Tax Credit.
The Home Buyer Tax Credit allows you to claim $5,000 for the purchase of a qualifying home in the year if the following are true:
- you or your spouse or common-law partner purchased a qualifying home that is owner-occupied.
- you did not live in another home owned by you or your spouse or common-law partner in the year you bought the home you are claiming or in any of the previous four years.
If these two points are true, you can make the $5,000 claim on line 369 of the tax return for the year you made the home purchase in. This $5,000 claim can help save up to $750 in potential taxes owing to the government.
For more information, click the following link or reach out to your Dominion Lending Centres mortgage professional.