Lucho Posted May 23, 2009 Report Share Posted May 23, 2009 Iunderstand for what I read that the $8,000 tax credit for taxpayers buying a house in 2009 before Dec. 1 is just an offset to the tax liability and not refundable. Am I right. Thank you Lucho. Quote Link to comment Share on other sites More sharing options...
mcb39 Posted May 23, 2009 Report Share Posted May 23, 2009 You are wrong. It is a refundable credit. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted May 23, 2009 Report Share Posted May 23, 2009 The credit IS REFUNDABLE. The amount of the credit is 10% of the purchase price with a MAXIMUM credit of $4,000 for single, and $8,000 for married couple. There is a MYTH that the credit is $8,000 despite filing status or purchase price. There is also a MYTH that land contracts qualify. I have answered these two questions at least 25 time this week. Quote Link to comment Share on other sites More sharing options...
Don in Upstate NY Posted May 23, 2009 Report Share Posted May 23, 2009 The amount of the credit is 10% of the purchase price with a MAXIMUM credit of $4,000 for single, and $8,000 for married couple. The maximum credit for a single filer is the full $8,000. The MFS maximum is $4,000. See the form. Quote Link to comment Share on other sites More sharing options...
RoyDaleOne Posted May 23, 2009 Report Share Posted May 23, 2009 Can you explain what a land contract is, please? Here in Florida, we have a thing we call a "contract for deed". Quote Link to comment Share on other sites More sharing options...
JohnH Posted May 23, 2009 Report Share Posted May 23, 2009 I think they are the same thing - just depends on your state. Here's a prety good discussion: http://en.wikipedia.org/wiki/Land_contract Quote Link to comment Share on other sites More sharing options...
Lucho Posted May 23, 2009 Author Report Share Posted May 23, 2009 The credit IS REFUNDABLE. The amount of the credit is 10% of the purchase price with a MAXIMUM credit of $4,000 for single, and $8,000 for married couple. There is a MYTH that the credit is $8,000 despite filing status or purchase price. There is also a MYTH that land contracts qualify. I have answered these two questions at least 25 time this week. Thank. When reading from different sources we can get confused. God bless this forum. Lucho Quote Link to comment Share on other sites More sharing options...
RoyDaleOne Posted May 24, 2009 Report Share Posted May 24, 2009 If the land contract includes a dwelling unit, is there some reference for it not qualifying for the credit. My research, and other people's research, has resulted in the conclusion that a "contract for deed" would qualify for the credit. See jainen answer on quickfinder. Quote Link to comment Share on other sites More sharing options...
jainen Posted May 27, 2009 Report Share Posted May 27, 2009 >>See jainen answer on quickfinder.<< If you wouldn't mind, please post a link or quote for that sententious wisdom. Even I don't know what it was. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted May 27, 2009 Report Share Posted May 27, 2009 If the land contract includes a dwelling unit, is there some reference for it not qualifying for the credit. My research, and other people's research, has resulted in the conclusion that a "contract for deed" would qualify for the credit. See jainen answer on quickfinder. Could you share some of your sources to back that up? Quote Link to comment Share on other sites More sharing options...
RoyDaleOne Posted May 27, 2009 Report Share Posted May 27, 2009 http://www.irs.gov/newsroom/article/0,,id=206291,00.html A residence as defined under Section 121, last paragraph. http://www.quickfinder.com/message_board/t...redit_67285.mbx Keith v. Commissioner, 115 T.C. 605 Completed Sale for Tax Purposes Keith v. Commissioner, 115 T.C. No. 42 (Dec. 28, 2000) Same.... Equitable ownership Also, I read and can not quickly find that the a video conference with the IRS, this question was asked. The response was reported in to be yes a contract for deed qualifies for the credit. Sorry that reference is also at quickfinders link, see MikeMack. Quote Link to comment Share on other sites More sharing options...
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