ONTARIO - HEALTHY HOMES RENOVATION TAX CREDIT
You may be eligible for this credit if, at the end of 2012:
If you are a senior, for this credit, a principal residence is a residence in Ontario that you occupy or expect to occupy by the end of 2014.
If you are not a senior, for this credit, a principal residence is a residence in Ontario that you occupy or expect to occupy by the end of 2014 with a family member who is a senior.
Eligible expenses are expenditures for improvements to the principal residence or to the land on which the principal residence is situated that:
You can claim the lesser of $10,000 and the amount of eligible expenses that you, or someone on your behalf, paid or incurred related to your principal residence. If you occupied more than one principal residence at different times between October 1, 2011, and December 31, 2012, eligible expenses that you paid or incurred for one or more of those residences would qualify for the credit.
The combined amount that you or your spouse or common-law partner can claim cannot exceed $10,000. However, if on December 31, 2012, you and your spouse or common-law partner occupied separate principal residences for medical reasonsor because of a breakdown in your marriage or common-law relationship for a period of 90 days or more, each spouse or common-law partner can claim up to $10,000 of eligible expenses. If you occupied separate principal residences for medical reasons, use Form ON-BEN and place a tick beside box 6089 in Part A. Enter your spouse or common-law partner's address under "Involuntary separation" in Part C on the back of the form. Attach Form ON-BEN to your return.
If you shared a principal residence with one or more family members, one of you may claim the entire amount of eligible expenses, or all members may each claim a portion of the expenses. The combined amount that can be claimed by all family members is the lesser of $10,000 and the amount of eligible expenses paid.
Matt and his brother Jason share a house. Jason is a senior. In April 2012, the brothers paid $4,000 for the supply and installation of a stair lift. In May 2012, the brothers paid $6,500 for the supply and installation of handrails, adjustable counters, and the widening of several doorways in their house. The total of the eligible expenses is $10,500. However, the maximum claim is $10,000.
Either Matt or Jason can claim the entire amount of $10,000 or they can each claim a portion of the expenses, provided that the total amount claimed does not exceed$10,000. For example, if Matt claims $5,000, Jason can claim $5,000.
If someone not living with you or not related to you paid for the qualifying home renovation to your principal residence, you could still claim the credit. You should obtain and keep the supporting documents.
Diana rents a home to a senior named Nina. In February 2012, Diana paid $750 to have handrails installed in several rooms of the home. Diana cannot claim the $750as an Ontario healthy homes renovation tax credit on her income tax return, but Nina can claim the credit on her return. Nina can add the $750 to any other qualifying expenses she incurred, to a maximum of $10,000. Nina should ensure that she obtains and keeps the supporting documents.
If an eligible expense also qualifies as medical expenses, you can claim both the medical expenses and the Ontario healthy homes renovation tax credit for that expense.
You must reduce your eligible expenses by the amount of any government assistanceyou received or expect to receive that is related to the eligible expenses.