Thinking of buying your first home? In this short post we’ll discuss some credits for first-time home-owner, including: medical expenses tax credits, tax deduction and home mortgage interest deduction.
Below are 3 credits for first-time home owners:
Medical Expenses Tax Credits
Persons with mobility impairments can claim renovation expenses to make their home more accessible under medical expenses deductions in Canada. The government provides an extensive list of eligible medical expenses as well as medical expenses that you cannot claim. Source: TurboTax.Intuit.ca
There exist other tax deductions that are available on a province by province basis, such as builders in Ontario and B.C. being able to recover the HST on the lumber and materials purchased to build or renovate a home, or the Manitoba homeowner’s home tax credits.
Inquire about all the tax deductions available to you and you may be surprised at how much money you can recover just by being a homeowner. Source: ComFree
Home Mortgage Interest Deduction
“The IRS allows you to deduct for the interest you pay your lender,” says Greene-Lewis. Home mortgage interest is one of the biggest deductions for those who itemize, and can make a huge difference for filers. You should be advised of interest paid to your lender on a 1098 form sent out annually in January and/or early February. Source: Investopedia