Philip H
Branch Manager- Emerald Coast at Guaranteed Home Mortgage Company, Inc.
FTHB Tax Credit Clarification
Need some direction from TAX professionals regarding this scenario. Girlfriend owns a house currently. Boyfirend does not. Girlfriend is selling her house and both her and boyriend are buying a house together. Would they qualify for the FTHB Tax credit and if so what would be the max they could qualify for? They will be getting married in 2011.
Thanks for your input.
Clarification added 2 months ago:
I am speaking of the new version that has passed both the House and Senate and will be signed by the President tomorrow.
Answers (5)
Well, it is all getting ready to change. In order to get the FTHB tax credit you have to close by the end of this month. If that is the case then I can direct you to a site (http://www.federalhousingtaxcredit.com/2009/faq.php) that can help. If they are not going to be able to close by the end of this month then I would hold tight and see what the new Bill says when it is passed. I hope this helps.
Links:
The guidance issued by the IRS in Internal Revenue Bulletin 2009-6 indicates that the boyfriend would be able to get the exemption, assuming he meets all the other qualifying criteria.
See Example 4 in the following link.
Links:
John C
Director of Business Development at Constant Profit Advisors
Best Answers in: Accounting (2), Auditing (1), Corporate Taxes (1), Property Law (1), Tax Law (1), Manufacturing (1)
Well, since it hasn't been signed into law (and maybe all the pens in DC will run dry before the president sits at the desk) there are no regulations in place.
That said, under the new law, the boyfriend should be qualified for up to $8,000 and, provided the girlfriend has owned the home 3 of 5 years, she would qualify for $6,500. Provided, of course, that they meet all the other legal and financial requirements to qualify for the tax credit.
I have not read the actually language yet as I have a weak constitution and can only handle so much socialism in a 12 month period. So there may be caveats to that advice but off-hand I can't imagine it.
Naturally anyone seeking to purchase a home in that situation is encouraged to talk to a tax advisor about their specifics.
I hope this helps.
Bill B
Associate Professor of Accounting; Planning Commissioner; CPA; CITP
Best Answers in: Tax Law (5), Accounting (3), Supply Chain Management (2), Personal Taxes (2), Economics (1), Business Analytics (1), Computers and Software (1)
The new law has been signed by the President. The $6,500 credit for 'old time home buyers' will be available for homes closed on AFTER November 30, 2009.
Clarification added 1 month ago:
Error correction. The credit in question is available for home purchases which closed on or after Saturday, November 7, 2009 if the purchaser otherwise qualifies.
Yes, I believe so. See link.
Here is some information that might help.
