First-time Homebuyer Tax Credit
Housing Stimulus Bill Synopsis First-time Homebuyer Tax Credit
Information from National Association of REALTORS.
| Feature | Effective for purchases on or after January 1, 2009 and before December 1, 2009 |
|
Amount of Credit |
Maximum credit amount $8,000 |
|
Eligible Property |
Any single family residence (including condos, co-ops, townhouses) that will be used as a principal residence. |
|
Refundable |
Yes. Reduces (or can eliminate) income tax liability for the year of purchase. Any unused amount of tax credit refunded to purchaser |
|
Income Limit |
Yes. Full amount of credit available for individuals with adjusted gross income of no more than $75,000 ($150,000 on a joint return). Phases out above those caps ($95,000 and $170,000). |
|
First-time Homebuyer Only |
Yes. Purchaser (and purchaser’s spouse) may not have owned a principal residence in 3 years previous to purchase. |
|
Revenue Bond Financing |
Purchasers who utilize revenue bond financing can use credit. |
|
Repayment |
No repayment for purchases on or after January 1, 2009 and before December 1, 2009 |
|
Recapture |
If home is sold within three years of purchase, entire amount of credit is recaptured on sale. Applies only to homes purchased in 2009. |
|
Termination |
December 1, 2009 |
|
Effective Date |
All revisions are effective as of January 1, 2009 |
The information provided here is for general use only. Encore Construction, Inc. does not advise on any personal tax matters. Please consult a qualified tax professional to establish how this is relevant to your current situation. For further details on the Tax Credit, visit FederalHousingTaxCredit.com.
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