February 26, 2009 – The Internal Revenue Service announced that taxpayers who qualify for the first-time home buyer credit and purchase a home during 2009 prior to December 1, 2009 have a special option available for claiming the tax credit either on their 2008 tax returns due April 15 or on their 2009 tax returns next year. Qualifying taxpayers who buy a home this year before December 1 can receive a tax credit of up to $8,000 or $4,000 if they are married filing separately.
The qualifying taxpayers who buy a home before December 1, 2009, can claim the credit on either their 2008 or 2009 tax returns. They do not have to repay the credit, provided the home remains their main home for 36 months after the purchase date. They can claim 10 percent of the purchase price up to $8,000 or $4,000 for married individuals filing separately.
The new law does not apply to people who purchased a home after April 8, 2008, and on or before December 31, 2008. For these taxpayers who are claiming the credit on their 2008 tax returns different rules apply.
For more information see your tax professional.
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