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Line 31270 - Home buyers' amount

Taxpayer purchased first home in Canada in 2019.

Taxpayer:

  • single
  • did not live in another home owned by them in the year of the acquisition or in any of the four preceding years (first-time buyer)
  • not living in that home - (taxpayers parents who are not disabled are living in it)

https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-31270-home-buyers-amount/qualifying-home.html

You must intend to occupy the home, or you must intend that the related person with a disability occupy the home, as a principal place of residence no later than one year after it is acquired.

because of the last fact regarding taxpayer I currently believe they are not eligible for the Home buyers’ amount.

thoughts?

I suppose that since they do not fall within the definitions of Section 118.05, you could remind them about Section 239(1.1) if they want to proceed regardless ?:
.
(1.1) Every person who obtains or claims a refund or credit under this Act to which the person or any other person is not entitled or obtains or claims a refund or credit under this Act in an amount that is greater than the amount to which the person or other person is entitled
(a) by making, or participating in, assenting to or acquiescing in the making of, a false or deceptive statement in a return, certificate, statement or answer filed or made under this Act or a regulation, …
… is guilty of an offence and, in addition to any penalty otherwise provided, is liable on summary conviction to
(g) a fine of not less than 50% and not more than 200% of the amount by which the amount of the refund or credit obtained or claimed exceeds the amount, if any, of the refund or credit to which the person or other person, as the case may be, is entitled, or
(h) both the fine described in paragraph 239(1.1)(g) and imprisonment for a term not exceeding 2 years.

1 Like

Very strong points and thank you for the reply!