Home renovation tax credit must be maintained

OTTAWA – New Democrat Deputy Leader and Finance Critic Thomas Mulcair (Outremont) today urged that the home renovation tax credit be maintained and enhanced.

“The home renovation tax credit has proven to be a helpful economic stimulus measure,” said Mulcair. “We are not out of the crisis yet. This tax credit should be extended so that those who could not afford to undertake renovations this past year can also benefit from it. It is a good way to encourage taxpayers to contribute to the economic recovery.”

The proposal from Mulcair and the NDP would extend the period for which the tax credit could be claimed as well as address the program’s shortcomings. Mulcair pointed out that the program could be more effective if it encouraged renovations that enhance energy efficiency.

“This is a practical way to combine economic stimulus and environmental protection,” said Mulcair. “I hope the government and the other parties will support our proposal.”

Mr. Mulcair is recommending:

• Extend the home renovation tax credit program by one year;
• Encourage renovations that enhance energy efficiency;
• Establish guidelines to ensure that the renovations are done by people with the necessary permits, licenses and other credentials to eliminate using the “underground economy.”