The Government is Helping you Pay for Home Improvements
Do you need a new furnace?
Has your kitchen needed an upgrade for the past 10 years?
Have you been planning to develop your basement since you moved in?
If you’ve ever gotten a quote, you know that home improvement can be expensive...Even a small project can cost you thousands of dollars.
If you own a home in Saskatchewan, the government is going to help you cover that cost! With the Home Renovation Tax Credit, you can save up to $2,100 on your tax bills for the next two years.
What Qualifies for the Tax Credit?
Any home improvement that is a permanent change to your home qualifies for the tax credit. This includes painting, remodeling, installing a new furnace or other home systems, new outbuildings, additions and landscaping! Maybe now’s the time for that new garage or media den!
Is There a Catch? Of Course, There’s Always a Catch.
But this time, the catch is pretty reasonable. The tax credit only applies to your primary residence. Routine maintenance, appliances, furniture, electronics, and financing costs are not eligible for the tax credit. Also, the first $1000 you spend isn’t covered by the tax credit.
How much can be Claimed?
In 2021, the maximum claim is $11,000 (when you spend $12,000 on renovations between Oct. 1, 2020 and Dec.31, 2021). For 2022, the maximum claim is $9,000 (when you spend $10,000).
How Do You Make Your Claim?
Complete your home improvement project and claim the tax credit on your CRA tax return, just like you would any other tax credit. Just make sure to save your receipts!
Make sure your receipts include:
If you’re like most people, you’ve been spending more time at home lately - why not make it as nice as possible! Thanks to the Home Renovation Tax Credit, there may never be a better time!
For more information, go to: https://www.saskatchewan.ca/residents/taxes-and-investments/tax-credits/home-renovation-tax-credit