5000-S12 (Page 1 of 3) Protected B when completed T1-2025 Schedule 12 Multigenerational Home Renovation Tax Credit Complete this schedule if you are eligible to claim the multigenerational home (including area code):renovation tax credit (MHRTC) on line 45355 of your return. For more information, go to canada.ca/cra-mhrtc. Attach a copy of this schedule to your paper return. Do not include your supporting documents, but keep them in case you are asked to provide them later. Who can claim this credit You can claim this credit if you are an eligible individual who incurred qualifying expenditures on a qualifying renovation to create a secondary unit within an eligible dwelling that allows a qualifying individual to reside with a qualifying relation. An eligible individual is either of the following: - an individual who ordinarily resides, or intends to ordinarily reside, in an eligible dwelling within 12 months of the end of the renovation period, and is any of the following: -- a qualifying individual or their cohabiting spouse or common-law partner at any time in the renovation period tax year -- a qualifying relation of a qualifying individual - an individual who is a qualifying relation of a qualifying individual, who owns the eligible dwelling or is the beneficiary of a trust that owns the eligible dwelling See the next page for definitions of the terms in bold above. Notes You must be a resident of Canada throughout the tax year to claim this credit. Only one qualifying renovation can be claimed for a qualifying individual in their lifetime. When more than one eligible individual makes an MHRTC claim for the same qualifying renovation, the total of all amounts claimed for that renovation must not be more than $50,000. If the individuals cannot agree on what portion of the amounts each can claim, the Minister of National Revenue may decide the portions. The maximum of $50,000 for qualifying expenditures applies to the same qualifying renovation, even if the secondary unit is expected to be the residence of more than one qualifying individual. For more information, including examples of who can claim this credit, go to canada.ca/cra-mhrtc. How much you can claim An eligible individual can claim up to $50,000 in qualifying expenditures for a qualifying renovation ending in the tax year. The MHRTC is 14.5% of whichever amount is less: - $50,000 - your total qualifying expenditures The maximum credit available for the MHRTC is $7,250. Notes Expenses that may be included in an MHRTC claim must be reduced by any expenses that can reasonably be considered to have been reimbursed. This includes any form of assistance that you received, or are entitled to receive, including any related rebates, such as those for GST/HST. Expenses claimed for the medical expense tax credit or the home accessibility tax credit cannot be claimed for the MHRTC. 5000-S12 (Page 2 of 3) Eligible dwelling A housing unit in Canada that: - both the qualifying individual and a qualifying relation of the individual ordinarily reside in, or intend to ordinarily reside in, within 12 months of the end of the renovation period - is owned (or jointly owned) by the qualifying individual or a qualifying relation of that individual (or a trust if the qualifying individual or qualifying relation is a beneficiary of the trust) at any time during the renovation period tax year The amount of land that can be considered part of the eligible dwelling is generally limited to half of a hectare (1.24 acres). Qualifying expenditure An expense that is: - a reasonable expense that was directly attributable to a qualifying renovation of an eligible dwelling - paid or incurred before the end of the renovation period by an eligible individual (or a trust that the eligible individual is a beneficiary) Note: The expense must have been paid or incurred after December 31, 2022. For examples of qualifying expenditures that qualify and do not qualify, go to canada.ca/cra-mhrtc. Qualifying individual Someone who, before the end of the renovation period tax year, is one of the following: - 65 years of age or older - 18 years of age or older who is eligible for the disability tax credit Qualifying relation Someone who is: - 18 years of age or older before the end of the renovation period tax year - a parent, grandparent, child, grandchild, brother, sister, aunt, uncle, niece, or nephew of the qualifying individual or their cohabiting spouse or common-law partner, at any time in the renovation period tax year Qualifying renovation A renovation or alteration of, or addition to, the qualifying individual's eligible dwelling that: - is of an enduring nature and integral to the eligible dwelling - allows the qualifying individual to reside in the dwelling with a qualifying relation of the qualifying individual by establishing a secondary unit within the dwelling for occupancy by the qualifying individual or qualifying relation Renovation period A period of time that: - begins at the time that the first qualifying expenditure is made or incurred for a qualifying renovation (for example, when you apply for a building permit) - ends at the time of the completion of the qualifying renovation (for example, when the qualifying renovation passes the final inspection or proof of project completion is received) Renovation period tax year The tax year that includes the end of the renovation period of the qualifying renovation. For example, if the renovation period ends on May 3, 2026, the renovation period tax year is 2026 even if the renovation began in 2025. Secondary unit A self-contained housing unit that: - has a private entrance, kitchen, bathroom facilities, and sleeping area - meets applicable local requirements to qualify as a secondary dwelling unit, if any The secondary unit can be newly constructed or created from an existing living space. The secondary unit can be newly constructed or created from an existing living space. 5000-S12 (Page 3 of 3) Step 1: Calculating your qualifying expenditures Complete this step to calculate the amount of MHRTC you can claim for the qualifying renovation. If you paid qualifying expenditures for more than one qualifying renovation, complete this step for each qualifying renovation using an additional sheet of paper. *** Transcriber's Note: In print, the table is set-up as 5 columns with 15 entry lines for each column. The format was changed to a narrative set-up. Please enter as many lines as necessary for the following. *** Date on sales slip or contract ^ Vendor or contractor: Name ^ Vendor or contractor: GST/HST Number (if applicable) ^ Description ^ Amount paid (including all applicable taxes) ^ Line 1: Total amount paid from all sales slips and contracts included in the table above and any additional sheets of paper Total qualifying expenditures = ^ Line 2: Any amount that can reasonably be considered to be reimbursed (including government assistance received or receivable) included in the amount on line 1 ^ Line 3: Line 1 minus line 2 (maximum $50,000 per qualifying renovation) = ^ Line 4: Maximum amount per qualifying renovation 50,000.00 Line 5: Amount of eligible expenses being claimed by other eligible individuals ^ Line 6: Line 4 minus line 5 = ^ Line 7: Enter whichever is less: amount from line 3 or line 6. Your qualifying expenditures for the qualifying renovation ^ Step 2: Calculating your MHRTC Line 8 and line 45354: Add the amounts from line 7 for each qualifying renovation. Your total qualifying expenditures ^ Line 9: Applicable rate 14.5% Line 10: Line 8 multiplied by the percentage from line 9 Enter this amount on line 45355 of your return. Multigenerational home renovation tax credit maximum $7,250 per qualifying renovation) = ^ See the privacy notice on your return.