The Federal Budget 2009, released January 27, 2009, offers four key benefits for home buyers and renovators.

Benefit 1: Home Buyers’ Plan (RRSPs for downpayments)
The withdrawal limit has increased to $25,000 from $20,000.
For information and forms, go to: www.cra.gc.ca. In the search box, type Home Buyers’ Plan. You will see Suggested links which include links to:
• Home Buyers’ Plan (HBP) – includes conditions, how to participate, cancel, repay, and a Q&A.
• The Home Buyers’ Plan Guide – a 22 page guide that covers all aspects of the plan; and
• Form T1036 Home Buyers’ Plan Request to Withdraw Funds from an RRSP in pdf and text for¬mats and there is a phone number if you have more questions: 1-800-959- 8281.

Benefit 2: Home Renova¬tion Tax Credit
The new provision that lets eligible home owners qualify for an income tax credit of up to $1,350 for home improvement projects.
For information, go to www.cra.gc.ca. In the search box type Home Renovation Tax Credit. You will be tak¬en to a Q&A that provides comprehensive information on eligible dwellings, expenditures, calculations and required documentation.
Note: there are no forms. Beginning with the 2009 personal income tax return, a new line will be incorporated to allow renovators to claim the credit.

Benefit 3: First-Time Home Buyers’ Tax Credit provides up to $750 in income tax relief to qualifying buyers for eligible costs associated with buying their first home. We expect details soon.
For information, go to www.cra.gc.ca and in the search box type First-time Home Buyers’ Tax Credit. You will be taken to a Q&A that provides comprehensive information.
Note: there are no forms. Beginning with the 2009 personal income tax return, a new line will be incor-porated to allow first-time home buyers to claim the credit.

Benefit 4: ecoENERGY Retrofit Program gives property owners grants of up to $5,000 to offset the costs of making energy-efficiency improvements.
For information, go to the Natural Resources Canada web site http://oee.nrcan.gc.ca/cor¬porate/retrofit-summary.cfm where there is a list of retrofit grants and incentives for residential property owners, commercial and institutional buildings and industrial facilities.

Source Real Estate Board of Greater Vancouver Vancouver