Shahrzad Malekpour

Stimulus Bill Tax Credit Facts

Here are the basic rules for the new Tax Credit that was signed into law 2/17/09.

1. Buyer has to be a "first time" Buyer. Buyers may not have owned a home for the past three years.
2. Home was purchased by 01/01/09 thru 11/30/09.
3. Income limit restrictions are: $75,000 Singles and $150,000 Couples. Higher incomes will receive a partial credit.
4. Must live in the home for three years, or Buyer will be obligated to pay it back.
5. Credit is 10% of the home value or $8,000, whichever is less. Any purchase over $80,000 will be the $8,000 tax credit.
6. Buyers will claim the credit on their tax return.

Any questions regarding the Tax Credit should be directed to the Clients CPA or Tax Accountant.