The 2009 First Time Homebuyer Tax Credit.
We've received a lot of questions about the 2009 Tax Credit, which has now been extended into 2010. Here are some main points for you to consider - but please check with your tax representative. We at TTH are not tax professionals and cannot give tax advice.
- The 2009 tax credit does NOT need to be paid back as long as you live in the house for 3 years. If you move or no longer use your home as your main residence anytime during the first 3 years, then you will need to pay it back.
- You will get the tax credit even if you don't owe that amount in taxes.
- The tax credit is for 10% of the the cost of the home for first time buyers, up to $8,000. As long as you are buying a home for $80,000 or more, you'll get an $8,000 tax credit.
- You are NOT eligible if you are joint filers making more than $170,000 or a single filer making more than $95,000.
- You are also not eligible if you purchase the home from a close relative.
- The tax credit applies to you if you go under contract on or before April 30, 2010 and close by June 30, 2010. You may also claim it on a 2008 amended return.
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For LCHT buyers: If you choose, you may apply the $8,000 tax credit as a down payment towards your Housing Trust Home, and agree to pay TTH when you receive the tax credit.
