Tax-Free First Home Savings Account (FHSA) coming in 2023

Saving for your first home is getting a little easier as Budget 2022 introduces the Tax-Free First Home Savings Account ("FHSA").

Starting in 2023, contributions to an FHSA would be deductible, and both income earned in an FHSA and qualifying withdrawals made to purchase a first home would be non-taxable. Each eligible individual can contrubte up to $8,000 annually, with a lifetime contribution limit of $40,000.

Budget 2022 would also increase the maximum value of the Home Buyers' Tax Credit from $750 to $1,500.