Budget 2009 Makes your Grass Greener
The Conservative government dropped its budget yesterday and it encourages Canadians to get their sod on…or their driveways resurfaced…or their new decks built…even at their cottages!
The proposed budget contains the Home Renovation Tax Credit (HRTC), which allows a 15-per-cent credit for fix-ups. While this credit is no surprise, its reach–all the way to the cottage–caught me off guard.
So, new grass would be eligible for the credit, as would a new furnace. But don’t think you can get any help from the government on that new sliding compound mitre saw. Tools are ineligible. (Bummer, no?)
Some more details:
The HRTC will apply to eligible home renovation expenditures for work performed, or goods acquired, after January 27, 2009 and before February 1, 2010, pursuant to agreements entered into after January 27, 2009.
The 15-per-cent credit may be claimed on the portion of eligible expenditures exceeding $1,000 but not more than $10,000, and will provide up to $1,350 in tax relief.
Hmmmm, $1,350 in tax relief. That number will get you a bunch of 2Ã—4s, roughly 652 at a length of 8€². The $1,350 equals fewer flagstones: approximately 112.
I spoke with Jeff, the treasurer at Pioneer Windows and Doors, this morning about the prices of windows (roughly $400 for a single-hung, 40€³ x 50€³ vinyl window, installed) and the proposed credit. He sees the latter as an encouraging development.
“If that passes, that should be good for business.”