The Province of Ontario has introduced a new tax credit – The Seniors’ Home Safety Tax Credit will help you make your home safer and more accessible, helping you stay in your home longer.
This tax credit will provide an estimated $30 million in support to about 27,000 people.
Who’s Eligible?
Seniors who are 65 by the end of 2021
People who live with senior relatives
You can claim the tax credit when you file your taxes for the 2021 taxation year.
While you are at it, we want to mention that if you qualify for this Provincial Tax Credit, you will also qualify for the Home Accessibility Federal Tax Credit as well.
What you’ll get
The Seniors’ Home Safety Tax Credit is worth 25% of up to $10,000 in eligible expenses for a senior’s principal residence in Ontario. The maximum credit is $2,500.
Here are a couple of examples of the use of this tax credit:
Example 1:
Judy and Sam are a senior couple. In 2021, they complete and together pay for $10,000 renovation to make the ground floor of their home safer.
To divide the benefit between them, Judy will claim $7,500 on her 2021 personal income tax return and receive a Seniors’ Home Safety Tax Credit of $1,875. Sam will claim the remaining $2,500 of the renovation cost and receive a credit of $625.
Example 2:
Marsha, in her late thirties, has asked her senior mother to move in with her. In 2021, Marsha spends $1,000 to add accessibility features to her home.
She will claim that amount on her 2021 personal income tax return and receive a Seniors’ Home Safety Tax Credit of $250.
Which expenses are eligible?
Expenses are eligible if they are for the home renovations that improve safety and accessibility or help a senior be more functional or mobile at home, for example:
Grab bars and related reinforcements around the toilet, bathtub and shower
Wheelchair ramps
Stair lifts
Elevators
Renovations to permit first floor occupancy or a secondary suite for a senior
Expenses must be paid or payable in 2021.
Rita and Fred Bowie took advantage of the Ontario Seniors’ Home Safety Tax Credit! They put up hand railings (Great for Fall Prevention). They will be claiming this on their 2021 Taxes!
By claiming this on their taxes they will be saving $750 in income tax!
Pictured above is Fred Bowie, Owen’s thumbs-up hands in the background, and Terry (to the left) from Vision Iron Works in Stittsville who installed the railings. If you are looking for Railings Terry is a great guy to contact! You can call him at 613-796-2539 or email visionironworks@gmail.com
The Seniors’ Home Safety Credit is a refundable personal income tax credit. This means that if you are eligible, you can get a tax credit regardless of your income of whether you owe income taxes for 2021.
You can claim the credit on your 2021 Income Tax and Benefit Return.
To claim the tax credit, seniors of their family members should get receipts from suppliers and contractors, helping to ensure that vendors report these amounts for tax purposes.
