Are you a senior or have a disability? Do you reside in Colorado and want to live independently, at home? Do you need your home modified to make it possible? If yes, a new program from the Department of Local Affairs (DOLA) may be able to help.
The Home Modification Tax Credit
Thanks to this tax credit, seniors and people with disabilities in Colorado can update their homes with stability handles, wheelchair ramps and more. They’ll receive a tax credit in return that covers the cost of the updates.
Do I Qualify?
To qualify for the home modification tax credit,
- Be an individual taxpayer with an adjusted family income at or below $150,000 for 2019 tax year (dependents with disabilities do not qualify)
- Have an illness, disability or impairment that requires the home modifications you are requesting
- Have the homeowner’s permission to make the modifications if you rent
Your home must:
- Exist before the home modification work begins (You can’t receive the tax credits on home modifications you make while constructing a new home.)
- Be your primary residence
- Be located in Colorado
Your home modifications must:
- Be necessary due to your disability, illness or impairment to ensure your health, safety and welfare
- Provide you with greater accessibility and independence
- Meet the Division of Housing’s Home Modification Construction Specifications
- Be completed in the tax year you’re applying the credit for
You can choose the home modification contractors of your choice, but DOLA recommends you check references and licenses. You’ll need to submit before and after photos to receive the tax credit.