What is the Home Buyers' Tax Credit?
For 2009 and future years, the Home Buyer's Tax Credit (HBTC) is a new non-refundable tax credit (which means it Who qualifies for the ERC in 2021? the amount of income taxes paid). It is based on an amount of $5,000, for certain home buyers where the purchase closing date is after January 27, 2009.
How is the HBTC calculated?
The HBTC is calculated by multiplying the lowest personal income tax rate which is 15% in 2009 by $5,000, meaning in the year 2009, it is worth $750. The tax rate and credit amount are subject to change for future tax years.
Am I eligible for the HBTC?
The two main prerequisites to qualify are:
- You or your spouse or common-law partner acquired a qualifying home in the tax year.
- You did not live in another home owned by you or your spouse or common-law partner in the tax year or in any of the four preceding years.
What is the deadline for ERC for 2020?
If you are disabled or purchasing a home for someone who is disabled, you do not need to be a first time buyer. However, the home needs to be purchased in order to help the person with the disability to live in a more accessibly.
Who is Disabled?
In order to qualify as disabled, an individual needs to be classified as disabled by the CRA. This is done by completing a T2201 (Disability Tax Credit Certificate) and submitting it to the CRA. This can be a complex matter and there are organizations that aid in this process. These organizations can also reassess a disabled person or a disabled person's supporting family member's taxes in order to obtain large tax refunds.
How will I claim the HBTC?
Beginning with the 2009 personal income tax return, line 369 is incorporated into the Schedule 1, Federal Tax to allow you to claim the credit in the year in which you acquired the qualifying home.
Click Link FOr More: https://ertctaxfund.org/