Tax tips for home purchases
It’s exciting to move into a new home and get settled with everything unpacked so you can start enjoying all the benefits of a new community. Although, during the hustle and bustle of moving and packing, you must consider and remember a few items for tax time.
Moving to go to school or starting a new job would allow you to deduct some /all your moving expenses if you moved more than 40kms closer to your school or place of work. Some of the expenses you can write off are the cost of movers or the rental of a moving truck, mileage, fuel, hotel costs, and food expenses for everyone that was part of the move. Out of Province Vehicle Inspections, Temporary living expenses up to a maximum of 15 days, and the real estate and legal fees for selling and purchasing homes.
Even if you did not move to go to school or start a new job, you might still be eligible for the first-time home buyers credit of $5000.00 if you have never owned a home before or it has been at least five years since you owned a home.
Always remember everyone’s situation may be different, and the government will require receipts and proof, so keep all your receipts and speak to a tax specialist at Liberty tax to understand what you need and what claims you are eligible to make.