In the remodeling business, designing for easy access is referred to as "Universal Design" or "Aging in Place." This design process creates living space(s) that are usable by all regardless of age, size, or abilities.
The Virginia Livable Home Credit is a program administered by the VA Dept of Housing and Community Development. It has been around for several years, but has been expanded for 2011.
An individual can receive a credit for a portion of the price paid for:
· the purchase of a new residence or
· the retrofit an existing residence
that is designed to improve accessibility, to provide universal visitability, and it meets the eligibility requirements.
For work or purchases on or after 1/1/2011, the credit shall not exceed the lesser of $5,000 or 50% of the amount expended. The credit does not apply to residential rental property, or for features or improvements made in order to comply with existing legal requirements.
Examples of eligible improvements:
- Accessible route to a zero-step entrance
- Zero-step entrance
- Doors with at least 32 inches of clear width
- Hallways and passages with at least 36" of clear width
- Accessible bathroom
- Accessible and usable kitchen facilities
- Sensory modifications
- Accessible light switches, electrical outlets, and environmental controls
- Lifts & elevators
Individuals seeking the credit must submit an application by 2/28 of the year following the expenditure to the Virginia Department of Housing & Community Development. The application must include documentation to support the credit:
- For new residential purchases - a copy of the executed sales agreement
- For retrofits - scope of work, work specifications, construction contracts, invoices and/or cancelled checks.
If approved, a certification will be mailed to the taxpayer, which must be attached to the tax return to claim the credit against income tax. Beginning in 2011, any unused credit may be carried forward seven years.
Credits approved are limited to $1 million per year. If qualified applications exceed the amount available, a prorated credit will be given.
There are forms and a brochure available at www.dhcd.virginia.gov/lhtc, but they have not been updated for the 2011 changes.
