The Federal Tax Credits Blog

Posts Tagged ‘credit’

Question: How does the 10,000 dollar special needs adoption tax credit work?

In the next year or two I am planning on adopting a special needs child. How does the 10,000 dollar speciall needs adoption tax credit work? I’ve read I get a flat 10K regardless of expenses. Is this true? Is there anyone in the know here about special needs adoption. Please only reply if you really know and not on how you think it works…. thanks.

Answer: It’s not just for special needs, it’s any adoption.
Here is a good link:

http://adoptionblogs.typepad.com/adoption/2004/11/the_federal_ado.html

I just did it for my adoption. My understanding is that the credit is for money spent, so if you spend 5,000 you can get a 5, 000 deduction, not the full 10,000. I do know if you don’t need the full tax credit one year that you can apply it over several years until you use it all. Also check out the IRS website…the tax credit recently increased. I did my own taxes on Turbo Tax delux and it walked me right through it. You can only get the tax credit the year the adoption is completed though. So, if you have some expenses this year and the adoption takes 2 years then you have to wait to claim the expenses. Actually, they make you wait until baby has a social security number or temp. tax ID number AND adoption is complete. Good Luck!

How To Show Federal Law Enforcement Intervention Need CPS Malpractice Trafficked Children

Question: how can i tell if my new oil-fired hot water heater qualifies for a federal tax credit?

Answer: See if it’s listed here:

http://www.gamanet.org/gama/inforesources.nsf/vAttachmentLaunch/B9F3B9CF3BC4C7F585257107005DE622/$FILE/taxcredit_rwh_ef.pdf

Polaris High Efficiency Water Heaters – Tax Credit Info

Question: Will I receive the $7,500 first time home buyer credit for 2008 or the $8,000 credit?

My husband I purchased a home after we did our 2008 taxes. We ammended it and submitted it on February 11, 2009. We want to get the $7,500 first time home buyers credit, which is a loan and we pay have 15 years to pay it off. Obama just signed the stimulus package and it states that They are throwing out the $7,500 first time homebuyer loan and instead are going to provide an $8,000 credit for first time homebuyers of 2009. Will I get both, the loan and credit? or will I just get one? If so, which one?

Answer: If you qualified for the $7500 and the IRS accepts your amended return you will get the $7500. This new amount for the home buyer’s credit is too new for the IRS to have it in their system. You would only get the $7500 or the $8000 but not $7500 plus another $8000.

Now, I am assuming that you purchased the house in 2008 and not in 2009. If you bought it in 2009 then it is too early to file and if you bought it in 2009 and tacked it onto your 2008 taxes then the IRS will most likely disallow it if you accurately reported the date of the purchase.

Sam Wilson’s Stimulus Package for Denver Area Home Buyers

Question: Must you sell your existing home by a deadline to qualify for 6500 home buyer credit?

We certainly qualify if we close on a new home before July 1, 2010. But, must we also have closed on the sale of our existing property (have owned as primary residence since 2001)? Put another way, if we close on a new home on June 15, 2010, can we get the tax credit if our existing home is still for sale on the market?
Well I wish I know any of you personally so I could judge, because I’m just as confused as before… thanks for the answers.

Answer: Not as the tax credit is written. Both sale and purchase must close on or before June 30, 2010. If your existing house is not sold, you do not qualify.

Benefits of a New Air Conditioning Unit