Quebec LogiRenov Tax Credit

(April 24, 2014) The government of Quebec announced a new tax credit called “the LogiRenov tax credit”.

This credit is equal to 20% of renovation work performed in excess of $3,000 on the taxpayer’s principal place of residence in Quebec, to a maximum credit of $2,500.

The credit will apply to most renovation work contracted to be done after April 24, 2014 and before July 1, 2015. The work must be carried out on a Quebec taxpayer’s principal place of residence, which includes:

a house

a condominium townhouse

a high-rise condo or;

a fixed mobile home.

Note that the original construction of the residence has to be completed before January 1, 2014.

For the purpose of this credit, land adjoining the residence and contributing to the use and enjoyment of the house will be considered part of the “dwelling”. However this does not include entrances to parking areas, walkways, or retaining walls and other structures that are only there for landscaping purposes.

Work that was undertaken in accordance with the existing EcoRenov tax credit, which applied to specific renovations undertaken before November 1, 2014, also qualifies for the new LogiRenov tax credit. A new information return to claim the new credit will be created for the 2014 and 2015 tax returns.

For the work to qualify it must be carried out by a contractor who is registered under the Act respecting the Quebec sales tax, or by a contractor that supplies a valid business number or social insurance number.

Where there is more than one owner of a residence, the total amount of the credit claimed by each cannot be more than what a single owner would be eligible to claim.

For more details and a detailed list of the renovation work that is recognized for the LogiRenov tax credit, see Quebec Information Bulletin 2014-6.