First Time Home Buyers Tax Credit
First time home buyers can now claim a personal amount of $5000, in respect of the purchase of a qualifying home. The closing date must be after Jan. 27 2009. The taxpayer will qualify as “first time buyer” if neither he or she, spouse or common law partner have owned and lived in another home in the year of purchase or any four preceding years.
The tax savings generated would be $750(calculated as 15% of $5000)
Taxpayers eligible for the disability tax credit may also claim the home buyer amount, or the taxpayers who are buying the home for a related person eligible for the disability tax credit even though they are not the 1st time home buyers, as long as the home is acquired to allow the disable person to live in a more accessible dwelling, to better suit his/her personal needs and care.