$10,000 First Time Homebuyer Bonus

The initial reports about the First Time Buyers Bonus were misunderstood due to what the Ministry of
Finance call a “Poor choice of words” in the initial press release. It is not a Tax Credit!

It is important that we understand the nuances of this program and we can share those with our clients.

• The First Time Homebuyer Bonus will be introduced in the legislature and is expected to obtain
“Royal Ascent” sometime in May 2012.
• Once given Royal Ascent, applicants will apply through the BC Ministry of Finance for the Bonus
• The Ministry expects the Application Forms to be ready by June or July
• Once approved the Ministry will mail out the cheques up to a maximum of $10,000. It is
estimated that the process will take about 4-6 weeks from application.
• The tax credit is equal to 5% of the home price, subject to a maximum of $10,000
• The tax credit is pro-rated based on your income and phases out for higher income families
• This credit only applies to new homes
• This credit only applies to first time buyers
• For further info go to: www.fin.gov.bc.CCl or call; 1-877-387-3332
 
BC Finance Minister, Mr. Kevin Falcon, has announced the reinstatement of the BC PST,to take effect on
April 1, 2013 (subject to approval by the BC Legislature). In simple terms, home buyers will continue to
pay HSTuntil April 1, 2013 and will be eligible fOI”additional rebates. After April 1, 2013 only 5% GSTwill
apply. For properties under construction at April 1, 2013, specific transitional rules will apply.
Mr. Falcon also announced that the full PSTLegislation will be introduced in the legislature this spring,
including the transitional rules.
Updated March 9, 2012