Federal

Multigenerational Home Renovation Tax Credit

Easy application

Need you to file taxes and apply separately

The Multigenerational Home Renovation Tax Credit (MHRTC), is a refundable credit to assist with the cost of renovating an eligible dwelling to establish a secondary unit that enables a senior or an adult who is eligible for the disability tax credit to live with a qualifying relative. The credit is available for qualifying expenditures made after December 31, 2022, for goods or services acquired after that date.

The tax credit is 15% of your costs, up to a maximum of $7,500, for each claim (up to $50,000) you are eligible to make.

To be eligible to receive this credit:

  • The renovation must create a secondary unit within the dwelling that will be lived in by the qualifying individual or the qualifying relative.
  • The individual who will live in the secondary unit (qualifying individual) must be:
    • 65 years of age or older before the end of the renovation period taxation year, or
    • 18 years of age and older before the end of the renovation period taxation year for whom an amount is deductible under the disability tax credit.
  • A qualifying relation is an individual who is:
    • At least 18 years of age by the end of the year and
    • At any time in the year, a parent, grandparent, child, grandchild, brother, sister, aunt, uncle, niece or nephew of the qualifying individual or the qualifying individual’s cohabiting spouse or common-law partner.

For more information on which expenses are covered, refer to the Canada Revenue Agency site.

Social Insurance Number

For example:

  • confirmation of SIN letter
  • plastic SIN card (non-expired)

The credit may be claimed on your T1 income tax and benefit return for 2023 (and subsequent years). It must be claimed in the tax year when the renovation period ended, even if the renovation took more than one year.

For 2023 and later taxation years, the credit may be claimed on your T1 income tax and benefit return for the renovation period taxation year.

Use Schedule 12, Multigenerational Home Renovation Tax Credit, to report your expenses related to the MHRTC and calculate the total credit you can claim.

You may claim more than one qualifying renovation in the same year.

Last updated: April 15, 2024