If you have hired a Builder, a General Contractor or hired trades to Substantially Renovate your Principal Residence within the last 2 years then you may be entitled to a tax-free Housing Rebate of up to $24,000 from the Government. This is regardless of your earnings or the fair market value of the home, meaning this rebate will still apply to you if the home value is above $450,000.
Housing Rebate applies to:
• Substantial Renovated Principal Residences
• Homes that are purchased as a new Principal Residence and are then Substantially Renovated
• Cottages that are Substantially Renovated and to be used as a Principal Residence upon completion
Who can apply for the Substantial Renovation Rebate?
In order to qualify for the Rebate, the home must be owned by a person or group of people. If the home is owned by a company it will not qualify for the Substantial Renovation Rebate. If the home is owned by more than one person, only one person from the group can apply for the Substantial Renovation Rebate.
How much is Substantial Renovation Rebate?
The Substantial Renovation Rebate is a maximum of $24,000.
Do Cottages Qualify for the Substantial Renovation Rebate?
In order to qualify for the Substantial Renovation Rebate, the renovated cottage must be your primary residence. If the cottage is a secondary property it will not qualify.
What if I substantially renovated property for a family member to live in?
In order to apply for the Substantial Renovation Rebate, the homeowner does not need to live in the property. A close family member may however live in the Substantially Renovated property. A homeowner can apply for a Substantial Renovation Rebate if any of the following family members use the Substantially Renovated property as their primary residence:
How long do I have to apply for the Substantial Renovation Rebate?
A homeowner has 2 years to Substantially renovate a home, and 2 years from the date they completed the Substantial Renovations to apply for the Substantial Renovation Rebate. Therefore, a homeowner can apply for the rebate up to 4 years retroactive from today. After this deadline, the Substantial Renovation Rebate is no longer claimable.
Do I need to live in Canada in order to apply?
A homeowner does not have to reside in Canada in order to apply for the Substantial Renovation Rebate. If you own a home that you substantially renovated and a close relative is using it as their primary residence, you are entitled to receive a Substantial Renovation Rebate no matter where you live in the world.
When should I apply for the Substantial Renovation Rebate?
You can apply for the Substantial Renovation Rebate when the home is 90% complete.
How long does it take to receive the Substantial Renovation Rebate?
Once the Substantial Renovation Rebate application is filed you should receive your tax-free rebate cheque in 4-5 weeks.