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Monday, May 2, 2016

Tax deadline approaching

Friday, April 2, 2010

With the April tax deadline coming up very quickly, there has been alot of confusion regarding the 2009 First Time Homebuyer's Credit that can be claimed on taxpayers returns for the year.

The First Time Homebuyers Credit was extended until April 30.

This maximum $8,000 credit remains from for first-time homebuyers, or someone who hasn't owned a primary residence during the three years up to the date of purchase.

This new law also provides long time residents a credit of up to $6,500 who does not qualify as a first time buyer. For the taxpayer to qualify, they must have owned and used a home as a primary residence for at least five out of the last eight consecutive years ending on the date of purchasing the new home as a primary residence.

All home purchases in 2010 that qualify for the credit may be claimed on either their 2009 or 2010 returns.

However, it is important to note that there are new income guidelines with the new law. Those who buy a new home after Nov. 6, the full credit may be available for those with modified adjusted gross incomes of up to $125,000 or $250,000 if you file jointly.

With the new law, are also new requirements, including dependents not being eligible to claim the credit, the purchaser must also be at least 18-years-old on the date of purchase. Homes costing more than $800,000 do not qualify.

For any questions regarding your credit, contact your tax preparer prior to your scheduled visit.

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