The Federal Tax Credits Blog

Posts Tagged ‘ping.fm’

Question: Is the first home buyer credit being extended to 2010 and increasing to 15K?

As discussed here, http://www.savingtoinvest.com/2009/02/15000-first-home-buyer-tax-credit-in.html, there are 15 bills in Congress to extend the credit into 2010 and increase to 15K. Fact or Fiction?
Sorry link was not working. Here is the correct one : http://www.savingtoinvest.com/2009/02/15000-first-home-buyer-tax-credit-in.html

Answer: They wanted it to be $15,000 the first time and it was shot down. Unlikely that it would pass now, especially with everyone in a tizzy about all the government spending. I doubt many politicians would endorse this. No one wants to support big spending right now so that way if things with Obama don’t work out, they can say it was because of the over spending and that they didn’t support it when they attempt to make a run for the Presidency.

Home Prices in 20 U.S. Cities Rose for Fifth Month (Update1)

Dec. 29 (Bloomberg) — An index of home prices in 20 U.S. cities rose in October for a fifth consecutive month, putting the housing market and economy farther down the path to recovery.

Home buyer Tax Credit Extended!

Question: 10% Homebuyer Tax Credit?

So I just read that yesterday that the Senate passed a tax credit for homebuyers for 10% of the total cost, up to $15,000. My question is, does this need to be approved by the House too before final approval? I close on a home purchase on February 27th and am really hoping that this will be in place by then so that I can qualify.

Thanks!!

Answer: It has not been signed into law yet.

I have heard rumors that people who received the $7500 may not have to pay it back under the new bill but that is still rumor. The details are changing everyday on this bill and I would not be sure of anything until it is signed.

It is my understanding that the $15000 it is NOT retro active. The new bill will be active from the day the bill is signed and for a year thereafter. Also this is not the same as the $7500 tax credit already in place. The $7500 you have to pay back, the $15000 you do not.

HOWEVER this is what a lot of people don’t understand. Just because you buy a home for $150,000 doesn’t mean you will get a check for 15,000. You will only get back what your tax liability is for the year you claim it.

For example if you paid the government $5000 in taxes in 08 and you break even (they don’t owe you, you don’t owe them) then they will give you that $5000. You can do that for 08, 09 or 09,10. If your taxes end up the same for the following year, then total you will get $10,000 dollars. For people like myself who are single and don’t make a lot of money I would only get about $4000 total.

It is very deceiving so be careful where you get your information from.

Dozens Of Tax Breaks Set To Expire

Dozens of individual and corporate tax breaks are set to expire on New Year’s Eve. The tax breaks were left in limbo when members of the U.S. Senate headed home last week without renewing them.

37 – First-time homebuyer tax credit passes House and Senate.wmv

Contributions through Enterprise Zone are due December 31

Contributions for community projects approved by the Economic Development Commission have decreased from $649,175 in 2008 to $161,089 through November 2009.

New Update on the Tax Credit Extension and Expansion