In October 2013 and April 2014, the provincial government announced two new tax measures: the Crédit d’impôt ÉcoRÉnov *(in French) aimed at encouraging eco-friendly renovations, and the Crédit d’impôt LogiRénov,* (in French) a home renovation tax credit. We posted information previously about how to qualify for these tax credits, which are designed as incentives for home renovation.
Now that the time has come to start preparing your 2014 income tax return, it is helpful to know which documents and information you need to claim these credits.
ÉcoRénov
To be eligible for the ÉcoRénov tax credit for the 2014 taxation year, you must have incurred expenditures between January 1, 2014 and April 30, 2015 related to recognized eco-friendly renovation work carried out under a renovation agreement entered into with a qualified contractor between October 8, 2013 and October 31, 2014.
You must:
1) Have had your contractor complete and sign the Certificate of Compliance with Energy and Environmental Standards (TP-1029.ER.A-V)
2) Enclose with your income tax return the form entitled Tax Credit for Eco-Friendly Home Renovation (TP-1029.ER-V) Much of the information required to complete this form can be found in your contractor’s Certificate of Compliance. You will also need the following:
- Information about your home (address, type of housing, year of construction)
- The total amount spent in 2014 or in the first 120 days of 2015
- If any of the materials used to carry out the work are purchased from merchants other than the contractor, further information regarding these expenditures will be requested (name of merchant, QST number, eligible amount).
LogiRénov
To claim the LogiRénov tax credit on your 2014 income tax return, you must have incurred expenses between January 1, 2014 and December 31, 2014 associated with eligible work conducted under a renovation agreement entered into with a qualified contractor between April 25, 2014 and July 1, 2015.
You must:
1) Have your contractor complete and sign the Certificate of Compliance with Energy and Environmental Standards (TP-1029.ER.A-V) if the work is on the list of eligible eco-friendly work
2) Have your contractor draw up a written breakdown of the cost of the various goods and services used, in the event that some of the work is not recognized as eco-friendly
3) Enclose with your income tax return the form entitled Tax Credit for Eco-Friendly Home Renovation (TP-1029.ER-V) Specifically, the following information is required:
- Information about your home (address, type of housing, year of construction)
- Total amount spent in 2014
- Information about the contractors who did the work (NEQ – Quebec Business Number, QST number, licence number, date of the agreement, eligible amount)
- If any of the materials used to carry out the work are purchased from merchants other than the contractor, further information regarding these expenditures will be requested (name of merchant, QST number, eligible amount).
Most of the information required to claim these two tax credits can be found in your supporting documents (invoices, bids, estimates, etc.). Although you are not required to submit them with your income tax return, you must keep the supporting documents for six (6) years.
Do not hesitate to contact your FBL expert.
NB: Work considered eligible for the ÉcoRénov tax credit is only eligible for the LogiRénov tax credit when the ÉcoRénov tax credit has expired, namely, work carried out under renovation agreements entered into after October 31, 2014.