First time property buyer in Canada - Tax exemption query
Mar 21st 2021, 8:51 pm
#1
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First time property buyer in Canada - Tax exemption query
I have a property I rent out in the UK and this is being reported annually in my Canadian tax return. I am planning on purchasing my first home in Canada and wondered if I will be able to obtain the first time buyer tax exemption or if my overseas property precludes me from this? I am living in lower mainland, British Columbia.
Mar 21st 2021, 9:19 pm
#2
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Re: First time property buyer in Canada - Tax exemption query
I have a property I rent out in the UK and this is being reported annually in my Canadian tax return. I am planning on purchasing my first home in Canada and wondered if I will be able to obtain the first time buyer tax exemption or if my overseas property precludes me from this? I am living in lower mainland, British Columbia.
"Eligibility:
- You’re a citizen or permanent resident living in British Columbia for at least 12 consecutive months immediately before the date the property is registered, or you have filed a minimum of two income tax returns as a resident of B.C. in the previous six years.
- The property is located in British Columbia.
- You’ll use the property as your primary residence.
- You must have never owned an interest in a principal residence anywhere in the world and have never received a tax exemption or refund as a first-time home buyer...."
However, I would ask a tax expert to make sure.
Mar 21st 2021, 9:26 pm
#3
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Re: First time property buyer in Canada - Tax exemption query
thanks for the link!
Mar 21st 2021, 10:47 pm
#4
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Re: First time property buyer in Canada - Tax exemption query
I have a property I rent out in the UK and this is being reported annually in my Canadian tax return. I am planning on purchasing my first home in Canada and wondered if I will be able to obtain the first time buyer tax exemption or if my overseas property precludes me from this? I am living in lower mainland, British Columbia.
https://www.cmhc-schl.gc.ca/en/buyin...ort-homebuyers
https://www.cmhc-schl.gc.ca/en/nhs/f...uyer-incentive
Line 31270 – Home buyers' amount
Note: Line 31270 was line 369 before tax year 2019.You can claim $5,000 for the purchase of a qualifying home in the year if both of the following apply:
- you or your spouse or common-law partner acquired a qualifying home
- you did not live in another home owned by you or your spouse or common-law partner in the year of acquisition or in any of the four preceding years (first-time home buyer)
Mar 22nd 2021, 4:34 pm
#5
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Joined: Sep 2014
Location: Vancouver, BC
Posts: 835
Re: First time property buyer in Canada - Tax exemption query
The tax exemption tops out at $500k anyway and depending on where you are in the LM, your budget may be well above that.
In addition to Home Buyers Amount, you can also use the Home Buyers Plan which allows you (and your partner/spouse if any) to take up to $35k each out of your RRSP to put towards downpayment. The criteria to qualify as first time buyer is the same.
https://www.canada.ca/en/revenue-age...yers-plan.html
In addition to Home Buyers Amount, you can also use the Home Buyers Plan which allows you (and your partner/spouse if any) to take up to $35k each out of your RRSP to put towards downpayment. The criteria to qualify as first time buyer is the same.
https://www.canada.ca/en/revenue-age...yers-plan.html
