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Yup, 8K for any first time home buyer that would have qualified for the the 7,500 and does NOT have to be repaid.
Must purchase the house before Dec. 1, 2009. It will be claimed on your 2008 taxes.
Quote:
[Update Feb 14 2009] Congress and the White House have reached agreement on a $789.5 billion economic-recovery package, clearing the way for final votes late this week on Capitol Hill. Unfortunately certain tax breaks, including the homer buyer tax credit, were scaled back to $8,000 (from the proposed $15,000) to get sufficient support for the stimulus bill's approval. This is $500 more than the current home buyer tax credit (outlined below), but will only be available for qualifying home purchases this year between January 1, 2009 and December 1, 2009. (updated from Sep 2009)
The Senate's proposal to make this credit available to anyone regardless of income was also dropped and like the original $7,500 home owner tax will phase out for single taxpayers with adjusted gross incomes that exceed $75,000 (or $150,000 for married couples filing jointly). Further, if you sell the home within three years, you’ll forfeit the credit (or have to pay it back it you already claimed it).
However, the final stimulus plan did leave in the $3 billion provision that would eliminate the repayment requirement for the tax credit for first-time home buyers (this may also be available to those using or have used the current home buyer tax credit). This means that the home buyer tax break is a true tax credit and not a deduction, so will be an actual $8000 reduction on your next tax bill. If you don't owe that much and purchased a house in the qualifying period, you get a check back from the IRS.
That's where I got my info. Looks like if you purchased btw April 9th, 2008 and December 31st you'll get the 7,500 that was current when you purchased a home. Unless they amend the current bill, you'll have to repay the 7,500 back over 15 years interest free.
I expect a thank-you note from whoever ends up with my $8K.
I'm getting really sick of posts like these! You can't purchase a home now if you don't have the good credit or the funds to do so! If you have the good credit, then obviously you pay your bills on time. If you're paying your bills on time, then you have a job to do so. If you have a job, THEN YOU'RE PAYING INCOME TAXES TOO!!! Like I said on another post, I pay income taxes, taxes for two vehicles, sales tax anytime I buy anything, and yes, I even had to pay a $20 tax just for owning my chihuahua! So it's not "FREE" money- IT'S MY MONEY TOO. My husband and I will be getting back SOME of what we have paid in, as will others who are able to claim the credit. Get over yourselves and pick something else to be bitter about.
I'm getting really sick of posts like these! You can't purchase a home now if you don't have the good credit or the funds to do so! If you have the good credit, then obviously you pay your bills on time. If you're paying your bills on time, then you have a job to do so. If you have a job, THEN YOU'RE PAYING INCOME TAXES TOO!!! Like I said on another post, I pay income taxes, taxes for two vehicles, sales tax anytime I buy anything, and yes, I even had to pay a $20 tax just for owning my chihuahua! So it's not "FREE" money- IT'S MY MONEY TOO. My husband and I will be getting back SOME of what we have paid in, as will others who are able to claim the credit. Get over yourselves and pick something else to be bitter about.
Seriously, as a previous homeowner we will not be getting the tax credit for our upcoming home purchase. To those who will, good for you! I believe that money will help cushion some of the fear and hesitation going on with the housing market. The are far worse uses of the $800 billion than this!!
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Amen
