(Photo credit: U.S. Army Corps of Engineers/Flickr)
When it comes to choosing a contractor to help you with a home renovation job, price is always a huge sticking factor for many homeowners.
Let’s face it, we know that reno jobs can get pretty pricey, depending on the work you’re doing, and when there’s an option to save thousands of dollars, it’s hard to say no. Unfortunately, many of these more inexpensive quotes could put you in huge financial risk since some of this income may be under the table, which could cause you headaches in the long run.
Recently, the federal government announced it would provide $750,000 towards the Canadian Home Builders’ Association’s (CHBA) Get it in Writing! campaign, which raises awareness about the dangers of using under the table contractors for construction and home renovation services. Since 2007, the feds have partnered with the CHBA to tackle contractors that try to avoid paying taxes and following labour laws.
Last year, the federal government announced a three-year strategy targeted towards reducing participation in Canada’s underground economy. Statistics Canada estimated that the underground economy accounted for 2.3 per cent of Canada’s GDP in 2011. While in 2013-2014, the government audited about 8,000 cases a part of the underground economy which pointed to $718 million of unreported income.
“Contractors who cut corners when it comes to their taxes are also likely to cut corners in their work. That’s bad news for Canadian consumers,” said Kevin Lee, Chief Executive Officer, Canadian Home Builders’ Association, in a press release.”The Canadian Home Builders’Association urges Canadians to not expose themselves to undue risk, both physical and financial.”
Paying a legitimate contractor will protect you in the long run if any issues crop up. For example, if there’s an issue with your electrical wiring that led to a fire and the work was handled by an under the table electrician, an insurance company may not cover the cost of the damage. Sometimes cheaper isn’t always better since you run the risk of dealing with an inexperienced contractor, which could leave you spending thousands of dollars extra to fix any issues. Don’t be left in the lurch and by choosing a Renomark contractor, you can feel confident with the contractor who’s handling your reno job.
Also, if you’ve done a major renovation job that could make you eligible for an HST housing rebate, you’ll need to show receipts as proof that the work was done. The CRA will use these documents to determine whether you should receive the money back or not and it’d be a shame to lose out on this rebate simply because you didn’t have the paperwork to prove it.
While it can be a tough pill to swallow when you’re faced with a steep reno cost, know that your choice will pay off in the long run and that you get what you pay for.
Rebate4U can help you figure out whether the renovations you’ve done to your property make you eligible for an HST housing rebate. Our priority is to provide our clients with the most professional and quality service in obtaining rebates for their new and renovated homes. We are proud to offer our clients the most personal and attentive service, and we make sure that all of our clients are 100% satisfied.