Understanding Seniors’ Home Safety Tax Credit

Ontario homeowners will be able to make their homes safer and more accessible with the help of  the Senior Home Safety Tax Credit, which will be offered in 2021 and 2022.

According to Raymond Cho, who works for the Ministry for Seniors and Accessibility, “We are giving Ontario’s seniors the ability to live in their homes and continue in their communities for as long as they choose.” “We are also making it easier for them to get the assistance they need,” he said. It will be much easier for the elderly and their families to remain in their homes for a longer period of time if we offer a tax credit for modifications.

“Our government continues to make the essential investments to strengthen Ontario and defend the progress we’ve achieved against COVID-19,” said Peter Bethlenfalvy, Minister of Finance. “Our government is committed to ensuring that COVID-19 does not affect Ontario.” “It is common knowledge that elderly people would rather remain in the familiar surroundings of their own homes if given the choice. Because of this, we are delighted to present this plan, which will provide them with additional time in which to take advantage of this tax credit.

The Ontario government will offer the new Ontario seniors home safety tax credit beginning in 2021 and ending in 2022 to help seniors make their houses safer and more accessible so they may stay in their homes longer.

Eligibility

The following is required to be eligible for this tax credit:

• Your loved one is turning 65 by the end of 2021 or 2022 and reside in Ontario.
• You are an Ontario resident who shares their home with elderly relatives.
• You are a resident who will move in with an older relative within the next twenty-four months after the year’s end.

What are acceptable expenses?

The following are some instances of eligible expenses that either need to be fully paid for or are due in 2021 or 2022:

• Wheelchair lifts and handrails in the corridors, walk-in bathtubs, and wheelchair ramps. These additions make it easier for seniors to live on the first floor or use the second floor as a secondary residence.
• Wheelchair-accessible shower stalls.
• Toilets that are comfortably seated.
• Expanding the doors to the passageways and lowering the existing counters and cabinetry.
• Putting in height-adjustable counters and cabinets.
• Electrical outlets and light switches are placed in easily reachable locations.
• Doors and faucets should have lever handles rather than knobs.
• Simple-to-operate door locks.
• To make working while seated easier, shelves can be slid out from under counters.
• Slip-resistant flooring, an adjustable hand-held shower attachment, or high-low mounting brackets.
• The addition of lighting fixtures both inside and outside the house.
• To allow for wider openings, doors should have translucent hinges.
• Repositioning the tap so that it is easier to access from the front or the side.
• Place touch-and-release hinges on cabinets and drawers, as well as motion-activated lighting.
• Install automatic garage door openers.

What does not qualify as an allowable expense?

Some examples of expenses that don’t qualify for the credit include the following:

• Scheduled servicing, maintenance, and/or repairs (for example, plumbing or electrical repairs).
• Improvements to the exterior of the house (i.e., painting and landscaping).
• Devices, furnishings, or appliances (i.e., lift chairs and medical alert devices).
• Support around the house, such as housekeeping, attendant care, or home security. 

What you’ll get

A senior citizen living in Ontario who incurs up to $10,000 in approved expenses for their primary residence is eligible for a tax credit of up to 25% of those costs. The maximum credit allowed is $2,500.

Consider an elderly couple who invested $10,000 in installing a stairlift in their home. In order to divide the benefit between them, one of them will deduct $7,500 from their personal income tax return for 2021 and receive a credit of $1,875; the other will deduct the final $2,500 of the stairlift cost and receive a credit of $625, bringing the total benefit to $3,750.

Want to learn more?

ConsidraCare’s live-in caregivers are trained to offer professional support to seniors, and our care management team is available 24/7 to offer financial advice to families as they manage care expenses. Please reach out to us at wecare@considracare.com or call us at 1-855-410-7971 to arrange care for a loved one.