BC Home Renovation Tax Credit - BC Home Improvement Tax Credit

Get up to $1,350 tax credit
for BC home improvements

BC - up to $1,350 Government of Canada tax credit.
Renovation: kitchen, bathroom, basement, windows, doors, carpet, floors, furnace ...

Home Renovation Tax Credit — BC

BC homeowners can get up to $1,350 in tax credits from the Canadian government for home renovations made between January 27, 2009 and February 1, 2010.

In February, 2009, the Canadian government included the Home Renovation Tax Credit (HRTC) as part of its Economic Action Plan.

The Canadian Home Renovation Tax Credit allows BC families to claim 15 per cent of BC home improvement expenses, between $1,000 and $10,000, on their 2009 income tax return. This gives BC families up to $1,350 in nonrefundable tax credits, which reduce the total amount of income tax they must pay.

2009 income tax return

The home renovation tax credit applies for 2009 income tax returns only. A line on the 2009 income tax return form will allow BC homeowners to enter the home improvement expenses they are claiming towards the credit. All home improvement expenses must be supported by valid receipts and documentation.

Home Renovation Tax Credit — how it works

Qualify for a Canadian government tax credit for home improvements in BC.

Home renovations — improvements must be made to the BC homeowner’s principal residence or to another residence they own and use personally (such as a cottage or vacation home).
Renovation expenses — must be at least $1,000, and not more than $10,000.
Time frame — home improvement expenses must be incurred between January 27, 2009 and February 1, 2010.
Tax credit maximum — each BC family can claim up to $10,000 in home improvement expenses, for credit of up to $1,350 per family. A family is defined as an individual, or an individual and their spouse or common-law partner, plus children up to age 18.
Sharing tax credit — the home improvement credit can be shared by more than one family member.
Shared home — if more than one family shares one residence, each family can claim up to $10,000 in home improvement expenses, for credit of up to $1,350 per family.

Home improvements — BC

The Home Renovation Tax Credit applies to BC home improvements that will become a permanent part of the home or its property. These BC home improvements include structural improvements such as home additions and interior renovations, and property improvements, such as garages, driveways and landscaping. All energy-saving renovations, including new furnaces, air conditioners and insulation, are eligible for the home renovation tax credit in BC.

Examples of eligible renovations

Renovating a kitchen, bathroom or basement
Windows and doors
New carpet or hardwood floors
A new furnace, woodstove, boiler, fireplace, water softener, water heater or oil tank
Home ventilation systems (of a permanent nature)
Central air conditioner
Electrical wiring in the home (example: changing from
100 amp to 200 amp service)
Solar panels and solar panel trackers
Painting of interior or exterior of a house
Building an addition, garage, deck, garden/storage shed, fence
Re-shingling a roof
Solar heaters and heat pumps for pools (does not include solar blankets)
Landscaping: new sod, perennial shrubs and flowers, trees, large rocks, permanent garden lighting, permanent water fountain, permanent ponds, large permanent garden ornaments.
Associated costs such as installation, permits, professional services, equipment rentals and incidental expenses

See complete list of eligible and ineligible expenses for Home Renovation Tax Credit.

Home Renovation Tax Credit — BC benefits

Under the Canadian Home Renovation Tax Credit, BC families can reduce their taxes and make lasting improvements to their homes. The tax credit can be used for renovations to any property used by the taxpayer as a permanent or temporary residence, including homes, cottages and mobile homes.

It may be claimed by an individual, or by either spouse or partner in a common-law partnership. If more than one family owns an eligible residence (for example, a shared vacation home), each family can claim up to $10,000 in eligible renovation expenses.

The Canadian government estimates more than 4.6 million families in Canada will benefit from the tax credit. It also says the HRTC will help Canada’s economy, because the HRTC encourages homeowners to purchase home renovation products and services provided by Canadians and Canadian companies.

Eligible renovation expenses:

must be supported by appropriate documentation (receipts, invoices, shipping labels)
include the cost of labour and professional services, building materials, fixtures, rentals, and permits.
include energy-saving renovations made under the Canada ecoENERGY Retrofit-Homes program and provincial rebate programs.
are not affected by other government grants or rebates, such as the ecoENERGY Retrofit-Homes grants, that the homeowner may qualify for.
can also be claimed for the Medical Expense Tax Credit, if qualified.

Energy-saving renovations — BC

Energy-saving renovations can permanently reduce a BC home’s energy use, saving as much as 50 per cent or more on home energy costs each year. By making energy-saving renovations in 2009, BC homeowners will receive maximum benefits for their renovations.

All energy-saving upgrades, renovations and retrofits are permanent improvements to a BC home, and qualify as expenses under the Home Renovation Tax Credit. BC homeowners can claim up to $10,000 in renovation expenses, including costs of energy-saving upgrades.

Energy-saving renovations eligible for HRTC

High-efficiency furnace
Energy Star central air conditioner
Ground- or air-source heat pump
Energy Star windows and skylights
Energy Star doors
Attic insulation
Wall insulation
Basement insulation
Low-flush toilet
Drain water heat recovery system
Electronic thermostats
Heat-recovery ventilator
Solar hot water heating system
Solar photovoltaic panel
Tankless hot water heater
Condensing gas hot water heater

Grants and rebates — BC

But there’s more. Under the ecoENERGY Retrofit-Homes initiative, the Government of Canada is giving BC homeowners tax-free grants and rebates for making energy-saving renovations, such as installing new high-efficiency furnaces and central air conditioners, insulation, windows, hot water heaters and even low-flush toilets. The BC government offers more grants and rebates for energy-saving renovations to eligible homeowners. The amount of money BC homeowners receive through government grants and rebates does not reduce or otherwise affect the amount of money they can claim for the Home Renovation Tax Credit.

That means if a BC homeowner spends $10,000 on energy-saving renovations, they will be eligible for $1,350 in tax relief. Depending on the renovations and their eligibility, they could receive up to $10,000 in combined tax-free grants and rebates from Canadian and BC governments. That’s a total savings of $11,350, which could help significantly offset the initial cost of the renovations in BC.

Grants for energy-saving renovations — BC

These renovations are just some of the eligible expenses under the HRTC guidelines, and are eligible for grants and rebates from the Canadian government’s ecoENERGY Retrofit-Homes initiative. The amounts shown in the box below reflect the federal grant amounts only. The BC government also offers additional rebates for energy-saving renovations to eligible British Columbia homeowners.

Install a new high-efficiency condensing gas furnace: up to $790 tax-free
Install a new geothermal heat pump system: up to $4,375 tax-free
Install a solar domestic hot water system: $1,250 tax-free
Insulate 100 per cent of your BC home’s exterior walls with greater than R-9 insulation: $1,875 tax-free
Insulate 100 per cent of your BC home’s basement walls with greater than R-23 insulation: $1,250 tax-free

Ongoing energy-saving — BC

Energy-saving renovations have lasting benefits for BC. They increase a BC home’s value with new, efficient equipment. They improve home comfort, by insulating against the outdoor temperature and providing efficient ways of heating and cooling the interior. They reduce the BC home’s energy use, which reduces annual energy costs. The result for British Columbia is savings that continue well after the calendar year is through.

Home Renovation Tax Credit — how it works

Canada’s Home Renovation Tax Credit lets BC homeowners claim the cost of energy saving home improvements on their 2009 income tax return. This tax credit represents an extra savings for BC homeowners on their home improvement costs, and is offered by the Government of Canada in addition to Canada ecoENERGY grants.

Up to $1,350 tax credit — Claim up to 15 per cent of your BC home improvement expenses on your 2009 income tax return, for a total credit of up to $1,350.
2009 income tax return — A line on your 2009 income tax return will allow you to claim home improvement expenses for the home renovation tax credit.
Eligible amount — Home improvement expenses between $1,000 and $10,000 are eligible for the home renovation tax credit
Eligible expenses — Claim BC home improvement expenses for lasting home improvements, including energy-saving renovations like a new furnace, heat pump, insulation, windows, doors and more. (See complete list)
Act now — Canada’s Home Renovation Tax Credit applies for home improvement work performed, or goods acquired, after January 27, 2009 and before February 1, 2010.
Keep your receipts — You must include valid receipts and invoices for all home improvements claimed on your 2009 income tax return.
Grants and rebates — Money received from the Government of Canada’s ecoENERGY grant program, and the BC government’s LiveSmart BC program is tax-free and does not affect the amount you may claim for the home renovation tax credit.

Many energy-saving home improvements qualify you for Canada ecoENERGY grants.

Get started now

To qualify for ecoENERGY grants you must have a BC home energy assessment before you renovate. BC homeowners who had their first home energy audit before August 16, 2009, are eligible for the Canada ecoENERGY grants + additional LiveSmart BC rebates

More government grants

BC rebates – Important update

Before August 16, 2009 — No changes have been announced for BC homeowners already enrolled in the LiveSmart BC program. Homeowners who had their first home energy audit before August 16, 2009, are eligible for the Canada ecoENERGY grants + LiveSmart BC rebates listed below.
After August 16, 2009 — Funding for the LiveSmart BC: Efficiency Incentive Program is now fully committed and LiveSmart BC will no longer provide rebates to new participants, starting August 16, 2009.
Canada grants — BC homeowners who have their first home energy audit on or after August 16, 2009, are eligible for up to $5,000 in Canada ecoENERGY grants for home energy renovations. Click here for details
For more information, call 1-877-732-9888

BC rebates — before August 16, 2009

BC homeowners who had their first home energy audit before August 16, 2009, can choose from a shopping list of combined Canada ecoENERGY grants + British Columbia LiveSmart BC rebates for combined grants of more than $10,000.

Furnaces — high-efficiency gas or oil, up to $1,920
Heat pumps — air-source heat pump which doubles as air conditioner up to $1,950
Water heaters — condensing gas up to $595
Water heaters — tankless/instantaneous gas, condensing-type up to $685
Water heaters — electric heat pump $130
Boilers — high-efficiency gas or oil, up to $1,870
HRV — heat recovery ventilator $875
Solar — hot water system up to $1,375 in grants, plus $1,000 SolarBC incentive
Geothermal — ground- or water-source heat pumps which are energy-efficient heating and cooling systems up to $5,625

BC homeowners can also get ...

Attic or roof — insulation up to $1,060
Exterior wall — insulation up to $2,275
Basement — insulation up to $1,750
Crawl space — insulation up to $1,520
Air sealing — for your home up to $710
Windows & doors — up to $80 for each replacement unit
Toilets — $65 for each replacement unit

And there’s more.

BC homeowners who had their first home energy audit before August 16, 2009 can get combined tax-free BC rebates of up to $10,000 and more for:

Home Renovations — Windows, doors, insulation, and air sealing
Equipment — Furnaces, heat pumps, hot water heaters, boilers, geothermal heating, solar panel hot water systems, HRV, low-flush toilets, and more ...

South Coastal BC rebates — shows combined tax-free grant + rebate amounts of up to more than $10,000 from the Governments of British Columbia and Canada for eligible BC homeowners in South Coastal BC. Click here
Interior & Northern BC rebates — LiveSmart BC provides bigger rebates for eligible homeowners living in Interior & Northern areas. Click here
British Columbia rebates — shows the full list of LiveSmart BC rebate incentives available from the BC government for homeowners who had their first home energy audit before August 16, 2009. Click here

Eligible BC homeowners can take advantage of Canadian ecoENERGY grants + Livesmart BC rebates of up to $10,000:

Canada ecoENERGY grants — BC homeowners can get up to $5,000 in home improvement grants through the Canadian government’s ecoENERGY Retrofit - Homes program, which is in effect until March 31, 2011.
LiveSmart BC rebates — BC homeowners who had their first home energy audit before August 16, 2009, get more money with LiveSmart BC rebates. The BC government’s LiveSmart BC: Efficiency Incentive Program provides rebates in addition to the $5,000 available in Canada ecoENERGY grants - for a total of more than $10,000.
Home Energy Assessments — To qualify for Canada ecoENERGY grants, BC homeowners must get a home energy assessment before and after their home improvement work. The BC government’s LiveSmart BC program subsidizes the cost of your first home energy assessment. This subsidy is subject to available funds. Click here for more
BC rebates — BC homeowners qualify for $1,000 rebates from Solar BC when installing solar hot water systems. There are additional rebates for low-flow toilets, and even more grants, rebates and incentives from local governments and energy utilities.
Home Renovation Tax Credit — BC homeowners can claim the cost of their energy-saving home improvements against their federal income tax. Get income tax credit of up to $1,350 when you make home improvements in 2009. The home renovation tax credit (HRTC) can be claimed for a wide range of home improvements, including energy-saving renovations. The home renovation tax credit is separate from Canadian government ecoENERGY grant and LiveSmart BC rebate programs. Click here

Easy to start — BC

All you do is make one call — 1-877-732-9888 — to book a home energy audit with a BC Energy Advisor – your first step to qualifying for LiveSmart BC rebates for home energy renovations.

Book your energy audit with a certified HomePerformance Energy Advisor. Your BC Energy Advisor will help you make the right energy saving choices for your BC home. Click here

LiveSmart BC — conditions

Some conditions apply.

Home energy audit — To qualify for LiveSmart BC grants you must get an ecoENERGY home energy assessment before and after upgrades to your BC home. You will receive grants for improvements started after your first audit.
Renovations — You can complete the improvements yourself or hire a BC contractor. We recommend you document your renovations with receipts, photos and product literature to be sure you get full credit for all improvements.
March 31, 2011 — You need to apply for LiveSmart BC grants by completing your follow-up (post-retrofit) audit within 18 months of your first audit, or by March 31, 2011, whichever comes first. Use the opportunity to complete as many upgrades as possible.
Existing homes only — Newly built BC homes occupied for less than six months do not qualify for grants. Once a newly built home has been occupied for more than six months, there is no limit to how old a home can be to qualify for LiveSmart BC rebates.
Local codes & by-laws — All improvements or renovations must meet BC building codes and by-laws. Pay special attention to the placement of vapour barriers when adding insulation to the building envelope. Before undertaking improvements or renovations, find out about the appropriate products and installation techniques to ensure that your home’s building envelope and indoor air quality will not be compromised.
Higher efficiency — To qualify for LiveSmart BC grants, any new equipment installed in your BC home must have a higher efficiency than that of the original equipment it replaces.
Questions about eligibility — If you are not certain about the eligibility of your BC house, or any specific renovations you are planning, you should request clarification from the BC government. Homeowners are responsible for clarifying that their house and planned improvements are eligible for LiveSmart BC grants before undertaking any upgrade work and related expenses.

BC rebates & incentives

British Columbia LiveSmart BC rebates

BC homeowners who had their first home energy audit before August 16, 2009, get more money with LiveSmart BC tax-free rebates.

LiveSmart BC — Rebates for home energy assessments and incentives for energy-efficient home improvements are available for BC homeowners who had their first home energy audit before August 16, 2009. Click here for details
$150 refund — You pay the energy advisor up to $150 for your first energy assessment. LiveSmart BC will pay the energy advisor for the remaining portion of the cost. To reduce your costs further, LiveSmart BC will send homeowners who had their first energy audit before August 16, 2009, a refund of up to $150 for the costs paid for their first assessment (not including GST and travel costs). To qualify for this refund, you must complete energy-efficiency renovations to your home, and obtain a second energy assessment.
18 months — To be eligible for LiveSmart BC you must receive an ecoENERGY assessment from a certified energy advisor before August 16, 2009, and before you begin home improvement work. You have 18 months from the date of the first energy assessment, or until March 31, 2011, whichever comes first, to make some or all of your incentive-qualifying renovations and complete your second energy assessment.
Two grant programs — Your second certified home energy assessment verifies your improvements and completes your application for both Canada ecoENERGY grants and LiveSmart BC rebates. Your Home Energy Advisor will do the necessary paperwork for both your Canada ecoENERGY grants and BC rebates.
BC Rebates List — Shows combined tax-free grant amounts available to eligible homeowners from the governments of British Columbia and Canada. Click here

Home Renovation Tax Credit — BC

In addition to tax-free grants and rebates for energy-saving home improvements, you can also get a 2009 income tax credit for your BC home improvement expenses. That’s right — BC homeowners can claim 15 per cent of their home improvement expenses, including the cost of energy-saving renovations, on their 2009 income tax return. This amounts to a Canadian tax credit of up to $1,350 for British Columbia homeowners.

You claim the Canada Home Renovation Tax Credit (HRTC) when you file your 2009 income tax return. The home renovation tax credit is separate from your tax-free grants and rebates, and you can claim it for many home improvements, including energy renovations like a new furnace, insulation or windows.
(Click here for more HRTC details).

Home Renovation Tax Credit — Budget 2009 includes a 15 per-cent non-refundable tax credit for home renovations in Canada. Click here for details
Up to $1,350 — The Home Renovation Tax Credit may be claimed for the 2009 taxation year on the portion of eligible BC home improvement expenditures exceeding $1,000, but less than $10,000. Get up to $1,350 in tax relief.
Act now — Canada’s Home Renovation Tax Credit applies for home improvement work performed, or goods acquired, for your BC home after January 27, 2009 and before February 1, 2010. British Columbians may claim this federal credit (including expenditures made in January 2010) in their 2009 income tax returns.
Combine tax credit, grants and rebates — Canada’s Home Renovation Tax Credit is in addition to the federal government’s support for Canadians to make energy-saving improvements to their homes. Canadian grants paid through the ecoENERGY Retrofit program will not reduce the value of claims for home improvement expenditures made under the Home Renovation Tax Credit. Provincial rebates paid to eligible BC homeowners through the BC government’s LiveSmart BC program will not reduce the value of claims made under the Canadian government’s Home Renovation Tax Credit.

Your advisor can help

By choosing a HomePerformance Energy Advisor to do your BC home energy audit, you’ll receive information on LiveSmart BC home energy renovation grants, and other energy improvement rebates available in British Columbia.

Enjoy all the benefits

Do it right

Each British Columbia home has its own specific energy-savings needs, and yours is no different. The right renovations add up to big savings. By following the expert advice of a certified BC energy advisor, you’ll make the energy renovations or "retrofits" that are right for your BC home — and help improve your energy costs and the BC environment.

Three easy steps

Call for a BC home energy audit ... 1-877-732-9888
Choose the right renovations for you
Save energy and money

Energy renovations help ...

Save energy — Your BC home won’t need as much energy to stay comfortable.
Save money — Less energy used = lower energy costs for you.
Grants + Rebates — Qualify for tax-free Livesmart BC rebates for home energy renovation, sent directly to you.

And that’s not all. Here are more benefits ...

Greater comfort – Your home will be warmer in BC winters, cooler in BC summers.
Better health – You’ll eliminate indoor health concerns like chills and drafts, and keep your home free of airborne pollutants and pollen.
Increased home value – By making energy renovations, you’ll increase the resale value of your BC home. An official Canada EnerGuide label proves you’ve done the work.
Simpler home maintenance – No more scrubbing moldy windowsills! Keep airborne dust and dirt outside where it belongs.

When you improve your home in British Columbia, you also make a difference to the rest of the world. You’ll help address important global issues like ...

Climate change – Energy renovations help reduce your BC home’s greenhouse gas emissions, while protecting you from the effects of climate change and extreme weather.
Energy security – By reducing your BC home’s energy use, you’ll be less deeply affected by energy price fluctuations and supply interruptions.

And there’s even more. Click here to learn how BC homeowners like you are saving thousands of dollars and tonnes of greenhouse gases every year, by making the right energy-saving home renovations. British Columbia homeowners can make a difference.

Get started today!

Learn more about Renovation Rebates in BC ...

Home Renovation

Window - replacement
Door - ENERGY STAR
Attic, roof - insulation
Exterior wall - insulation
Basement - insulation
Crawl space - insulation
Air sealing - air tightness, blower door test
HRV - heat recovery ventilator

Equipment

Furnace - high efficiency
Hot water heater - tankless, high efficiency
Air conditioner - central, window replacement
Heat pump - air source
Geothermal - heat pump
Boiler - gas, oil
Solar - hot water system
Toilet - efficient low flush

To qualify you need a home energy assessment before your renovations. For more information on tax-free government grants in British Columbia or to book a BC home energy assessment call 1-877-732-9888.