First-Time Home Buyers Tax Credit

January 19, 2011

Program

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

Details

  • To assist first‐time home buyers with the costs related to the purchase of a home.
  • 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.
  • Applicable to first‐time buyers purchasing a home closing after January 27, 2009.
  • The FTHBC is claimable for the taxation year in which the home is acquired.
  • 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 ears.

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