Tax credits can be confusing matters, which is why it is a good idea to simplify them in an article for people to take advantage of any possible Homebuyer Tax Credit, should they qualify.
In order to be eligible, it is imperative to return the relevant forms by April 2010 as the $8000 Federal Homebuyer Tax Credit deadline is by June 2010. A homebuyer can qualify for up to or the full amount. This is only applicable to first time homebuyers who have not owned any property in the last 3 years. Also another criteria for qualifying for the full benefit amount, is that your income limit must not exceed $125,000 a year.
This new incentive is equivalent to 5 percent of the purchase price, taken in equal part payments over three years. Homebuyers must continuously reside in their principal residence for minimum two years; otherwise they will forfeit the whole thing and would have to repay the full amount.
If a first time buyer has managed to close a transaction on their primary residence between May to December 2010, they will qualify for this incentive. New buyers can reserve a credit by entering into a contract from May to the end of the year, by filling in the appropriate application forms and disclosing it to the tax authorities. But the sooner this is done the better.
This program is on a first come, first serve basis so once the state funds runs out, the program will finish and there is no guarantee for the Homebuyer until their credit status is confirmed. Time is of essence when it comes to submitting your application to the tax authorities if you want to make the most of this new scheme. So if you are a first time Homebuyer, why not take a visit to your local tax office today!
Immobilienmakler Heidelberg Makler HeidelbergSource by Cesar Swaby