First-Time Home Buyers’ Tax Credit (HBTC)

If you or your spouse bought your first home in 2023, you might qualify for the First-Time Home Buyers’ Tax Credit (HBTC).

Note: If you are a first-time home buyer in Québec, you can claim the Québec First-Time Home Buyers’ Tax Credit on the TP-752.HA-V page in the tax software. Check out our help article for more information on its eligibility requirements.

This tax credit is available to first-time home buyers, who purchased a qualifying home in 2023, such as:

  • Single-family houses
  • Semi-detached houses
  • Townhouses
  • Mobile homes
  • Condominium units and
  • Apartments in duplexes, triplexes, fourplexes, or apartment buildings

You can claim this amount if you meet the following requirements:

  • The qualifying home is registered in your name (and/or in your spouse’s name, if applicable)
  • The home is in Canada
  • You did not live in another home owned by you or your spouse in the year of purchase or in the previous four years
  • You moved into the home no later than one year after you purchased it as your principal residence

Note: This credit is only claimable in the year you bought your home. If you forget to claim it, you’ll need to adjust your return for the tax year in which you bought your home. You can do this with H&R Block’s ReFile feature or ask the Canada Revenue Agency (CRA) to adjust your return.

Tax Tip: If you or your spouse qualify for the disability amount, you can claim the first time home buyer’s tax credit even if you aren’t a first-time buyer, provided the home you’re moving into is better suited to meet the needs of the person with the disability. The person with the disability must live in the home as their principal residence no later than one year after it is purchased.

You can claim a 15% tax credit on the amount of $10,000, which you put towards the down-payment of your first home. This results in a tax credit of $1,500 (calculated by multiplying $10,000 by the 15% tax rate). You and your spouse or common-law partner (if applicable) can both claim a portion of the tax credit, as long as the combined amount isn’t more than the maximum claimable.

Note: This amount can only be claimed in the year you bought your home – it cannot be carried forward to be claimed in a future year.

Example: John and Katie purchased and took possession of a qualifying home in 2023. They both want to claim an equal amount of the First-Time Home Buyers’ Tax Credit on their return. The maximum amount either of them can enter into the designated field of their returns would be $5,000. H&R Block will automatically calculate the resulting tax credit as follows:

John

$5,000 x 15% = $750

Total credit = $1,500
Katie

$5,000 x 15% = $750

If you’re in the process of buying a condo and you’re a first-time home buyer, you can claim the HBTC only in the year that the condo is registered in your and/or your spouse’s name. You cannot claim this tax credit in the year you signed a preliminary contract for a condo project, made your down payment, or took interim occupancy.

Remember, you must also move into or intend to move into the condo within one year after the closing.

Important: If you’re a resident of Québec, you’ll need to claim the Québec First-Time Home Buyers’ Tax on the TP-752.HA-V page in H&R Block's tax software.

Follow these steps in H&R Block's 2023 tax software:

  1. On the left navigation menu, under the Credits & deductions tab, click Required.
  2. Click the Special situations heading.
  1. Enter the credit amount you want to claim in the field labelled, If you purchased a home in 2023 that qualifies for the home buyers’ amount, enter how much of the $5,000 credit you’d like to claim.