taxbrewster Posted February 3, 2011 Report Share Posted February 3, 2011 Two questions to kick of this tax season. Of course they have to do with repayment of the 5405. 1. Woman purchased the house in july 2008, got the full 8k, but now is going to get married in March 2011, if they live at the new husbands house, is she going to have to repay the credit because it stops being her primary residence? 2. Young man purchases a home in 2008, got full credit, has a friend move in and pay rent in 2010, he can write off part of the home as a rental and claim the income correct, this does not effect him in any way, right. Thank you. Hope everyone has a good season. Quote Link to comment Share on other sites More sharing options...
grandmabee Posted February 3, 2011 Report Share Posted February 3, 2011 Two questions to kick of this tax season. Of course they have to do with repayment of the 5405. 1. Woman purchased the house in july 2008, got the full 8k, but now is going to get married in March 2011, if they live at the new husbands house, is she going to have to repay the credit because it stops being her primary residence? 2. Young man purchases a home in 2008, got full credit, has a friend move in and pay rent in 2010, he can write off part of the home as a rental and claim the income correct, this does not effect him in any way, right. Thank you. Hope everyone has a good season. if he changes the use of the home to rental then pay back credit. I not sure if they allow you to make only half or % of home rental and balance still personal residence. It cleary states if you change use of home to business or rental then you pay back Quote Link to comment Share on other sites More sharing options...
grmy2h Posted February 3, 2011 Report Share Posted February 3, 2011 Just reading on the IRS site... I see this..... Your home stops being your main home when: You sell the home. You transfer the home to a spouse or former spouse in a divorce settlement. You convert the entire home to a rental or business property. You converted the home to a vacation or second home. You no longer live in the home for the greater number of nights in a year. Your home is destroyed or condemned. You lose your home in foreclosure. You die. Quote Link to comment Share on other sites More sharing options...
taxbrewster Posted February 4, 2011 Author Report Share Posted February 4, 2011 Thanks for the input. That is what I read on the IRS site as well. Quote Link to comment Share on other sites More sharing options...
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