Read the following information to learn about the 2010 Home Renovation Tax Assistance Program.
City Council has approved By-Law 36/2010 on March 24, 2010 to “… establish a program of real property tax credits in the year 2010 to encourage and assist in the renovation of residential premises …”. The 2010 Program has limited funding for tax credits and operates on a “first come, first serve” basis
The following is intended to provide general information about the 2010 Program and does not include all conditions of By-Law 36/2010. If you need more than the general information presented here, contact the Home Renovation Tax Assistance Program office at 986-7352. The Program office is located at:
Unit 31 – 30 Fort Street
Planning, Property and Development Department
Winnipeg, Manitoba R3C 4X7
Eligibility Requirements
The 2010 Program is intended for residents who comply with all of the following eligibility requirements:
- The resident’s home is used solely for residential occupation.
- The resident’s home must have been built before January 1, 1985.
- The resident’s home and land on which it is situated has an assessed value not exceeding $192,000.00 in 2010.
How to Apply for the 2010 Program
- To apply to the 2010 Program, a City of Winnipeg Building Permit must be obtained before any renovations are commenced. Permits can be obtained by residents or their contracted representatives. Permits have to be obtained, in person, at the Zoning and Permits Branch; located at Unit 31 - 30 Fort Street. For further information, contact the Zoning and Permits Branch at 986-5146.
- When obtaining a permit, residents are required to estimate the costs of all renovations and an appropriate application fee will be charged in accordance with the City of Winnipeg Development Fees By-Law. Residents are advised to obtain a quotation from a professional contractor prior to obtaining a permit.
- Residents may apply until 2010 Program funds are depleted or until December 31, 2010; whichever occurs first.
- All renovations are inspected by City of Winnipeg Housing and Existing Buildings Branch Staff to ensure compliance with applicable By-Laws. Permit fees can be claimed as a Program expense.
- Where a building permit is not required by by-law for an eligible renovation, an eligible homeowner shall not be charged a fee for applying for a tax credit under this By-law.
Eligible Renovations
The 2010 Home Renovation Tax Assistance Program has two categories of eligible renovations:
- Standard Renovations – Generally, the following standard renovations are eligible for a 15% tax credit:
- Renovating kitchens, bathrooms and unfinished basements.
- Building an addition to a home that will be utilized as a year-round living space.
- Installing, repairing or upgrading a plumbing system or electrical system or a ventilation system, but not including an air conditioner.
- Reinforcing or repairing a foundation or basement, including weeping tile, excavation and related landscaping.
- Home security alarms
- Installing or repairing exterior sheathing, roofing, shingling, soffits, fascia, eavestroughing, doors or windows (excluding skylight windows).
- Installing or repairing a water or sewer system, including excavation and related landscaping.
- Purchasing and installing a low flush toilet.
- Modifying a home to accommodate a disabled person or renovating for reasons of safety or occupant health.
- Repairing a home to ensure or maintain compliance with the Maintenance and Occupancy By-Law.
- Constructing or repairing a deck, verandah or garage.
- Energy Efficiency Renovations – Generally, the following energy efficiency renovations that meet or exceed Manitoba Hydro Power Smart guidelines are eligible for a 25% tax credit:
- Renovating an unfinished basement with insulation to the walls and floors.
- Upgrading a primary heating system.
- Upgrading an electrical system.
- Upgrading a ventilation system.
- Insulating walls and an attic.
- Upgrading and insulating doors and windows.
For further information, visit the Manitoba Hydro website at www.hydro.mb.ca.
Ineligible Renovations
Generally, the following renovations are ineligible:
- Building or repairing a fence, driveway, patio or sidewalk unless necessary to maintain the structural integrity of the home or for safety or occupant health reasons.
- Installing or repairing a play structure or swimming pool.
- Landscaping, unless related to excavation work.
- Interior decorating such as installing wallpaper, blinds or drapes.
- Interior and exterior painting and installing or repairing floor covering unless related to eligible renovations, necessary to maintain the structural integrity of the home or for safety or occupant health reasons.
- Installing or repairing a household appliance, skylight windows, fireplace, hot tub or jacuzzi, secondary heating system, heat pump unless it is the primary heating source, air conditioner, back-up generator, air purification system, radio or television antenna or satellite dish, lawn sprinkler system, awnings or any improvements that are not permanently affixed to a home.
- Modification to a home to allow a non-residential use or multi-family use.
- Constructing or repairing an accessory building such as a greenhouse, gazebo or sunroom.
Completion of Renovations
- In order to be considered for a tax credit, all renovations must be completed by residents on or before December 31, 2010.
- After obtaining a permit, a Program claim form will be mailed to residents. The claim form and accompanying receipts or proof of payment must be submitted to the Program Office for completed renovations on or before December 31, 2010.
- Residents are required to submit receipts or proof of payment for all expenses itemized on their claim form. Photocopies of receipts may be submitted. Original receipts will not be returned to residents.
- Residents are advised that a claim for incomplete renovations will not be eligible.
- Residents may include the following costs and expenses on their claim form:
- Materials
- Contractor labour
- Retail sales tax and G.S.T.
- Drafting and architectural plans
- Permit fees
- Legal and inspection fees
Tax Credit Details
- The maximum amount that can be claimed by any resident for standard renovations and energy efficiency renovations is $10,000.00 and $6,000.00, respectively.
- The maximum 2010 Program tax credit that an eligible resident will receive is $1,500.00. Residents are advised that the total amount of tax assistance provided by the City of Winnipeg under all Home Renovation Tax Assistance By-Laws shall not exceed $1,500.00.
- The maximum annual tax credit that an eligible resident will receive is $500.00. Tax credits will be provided to an eligible resident in the years 2011, 2012 and 2013 as a property tax reduction.
- Tax credits will be provided to an eligible resident for either the initial valuation of the renovations, as declared when obtaining a permit, or the actual expenses stated on the claim form; whichever is less.
Last update: April 6, 2010
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