How to Calculate HRTC
- 1). Make a list of all your eligible expenditures for the HRTC. Examples include new carpet or hardwood floors, a new furnace or water heater and resurfacing a driveway.
- 2). Add the cost for each eligible expenditure together to get the total cost. To qualify for the HRTC they must be more than $1,000 but not exceed $10,000, for a total amount of $9,000. Should they exceed $9,000 you can only claim the maximum amount.
- 3). Multiply the total cost for all the eligible expenditures by 15 percent to get the HRTC. The maximum credit you can receive is $1,350, which is the $1,000 minimum subtracted from the $10,000 maximum, or $9,000 x 0.15 = $1,350.