Tuesday March 16, 2010
Wanting a little a extra money on your 2009 tax returns? How would it feel to get an additional $6,500 back? Thanks to the 2009 home buyer tax credit it’s possible.
How does it work?
The process is rather simple. A tax credit of up to $6,500 is available for repeat home buyers who have owned a home for five consecutive years out of the prior eight years. First time home buyers have the opportunity to receive up to $8,000 on their 2009 returns. The home buyer tax credit applies to houses sold after November 6, 2009 and on or before April 30, 2010. In cases where a binding sales contract is signed by April 30, 2010, a home purchase completed by June 30, 2010 will qualify.
The best news is really about claiming the tax credit. If you’re planning on purchasing a home in 2010, you can still take advantage of the tax credit on your 2009 returns. You won’t have to wait for the 2010 tax season to come around.
Some quick facts you need to know about the home buyer tax credit:
- The home buyer tax credit does not have to be repaid unless the home is sold or ceases to be used as the buyer’s principal residence within three years after the initial purchase.
- Expanded tax credit benefits apply to members of the military, the foreign service and the intelligence community.
- Income limits of $125,000 for individuals and $225,000 for married couples filing jointly apply to all sales occurring after Nov. 6, 2009.
- Persons who are claimed as dependents by a taxpayer or who are under age 18 do not qualify for a tax credit.
- Homes priced above $800,000 are not eligible for either the first-time home buyer tax credit or the repeat home buyer tax credit.
- The income limits for sales occurring on or after January 1, 2009 and on or before November 6, 2009 are $75,000 for individual taxpayers and $150,000 for married couples filing jointly.
With the April deadline quickly approaching now is the perfect time to take advantage of this tax credit. So come on out and visit Boone Homes‘ Richmond or Roanoke new home neighborhoods today to take advantage of the $6,500 tax credit, low interest rates compose the best recipe for a luxury home by an award winning new home builder.