Saturday, April 4, 2009

Homeowners in line for reno rebate

For homeowners, 2009 could be the year of the reno, following the passage of the long-awaited federal budget last week.

Crowsnest Pass residents who want to update their bathroom or refinish the basement will get a tax break worth up to $1350. A Home Renovation Tax Credit lets taxpayers claim 15 per cent of their fix-ups until Feb.1, 2010.

Taxpayers can claim renovations on their 2009 tax returns on costs over $1,000, but not exceeding $10,000.

"Any free money is a good thing," said local contractor Rick Reil. "If it gets people thinking about (renovating), it's a good thing."

But Reil compared the renovation tax rebate to the GST rebate offered for new housing construction. "It may be an incentive, but it's not a driving force."

Revenue Canada recommends receipts be kept in case of future audit. Contractors are also required to produce invoices that are often done on a cash basis without paperwork.

The credit is designed to boost the construction industry, which has taken a major hit over the last few months as new housing projects stall.

Eligible expenses include renovating kitchens, bathrooms or basements, new carpeting or flooring, building additions, decks, or retaining walls, installing furnaces or water heaters, interior and exterior painting, or driveway resurfacing.

Routine maintenance does not qualify nor do things such as new furniture, appliances, tools, carpet cleaning and snow removal.
Crowsnest Pass Promoter
Joni MacFarlane


John Prince, Alberta licensed real estate agent, MaxWell City Central – Crowsnest Pass. Serving the Crowsnest Pass and area. Call me directly at 403-564-4518 or by email at: johnprince@shaw.ca

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