$8,000 Tax
Credit Use the money as a down payment.
Ask us how.
The
government has come up with an idea that could help motivate the Housing
industry, an $8,000 tax credit. This is not the same as a tax deduction. This
tax credit is a dollar for dollar reduction in what the taxpayer owes or
receives. So if you owe the IRS $8,000 and buy a home within the guidelines
explained below, you will owe the IRS nothing. If you owe $5,000 this year and
you qualify and file for the tax credit this year, you will get a refund check
for $3,000. You can apply this credit towards your 2008 tax return if
desired. THAT’S HUGE!!!!
Requirements:
- You
can not have owned a principal home for the last 3 years or you are a first
time home buyer. If married, each person has to meet these criteria. Non
married joint buyers, only one person has to meet these criteria, but only the
taxpayer that has not owned a home in the past 3 years will receive the tax
credit.
-
The tax credit is equal to 10 percent of the home’s
purchase price up to a maximum of $8,000.
-
The credit is available for homes purchased on or after
January 1, 2009 and before December 1, 2009.
-
Single taxpayers with modified gross incomes up to
$75,000 and married couples with modified gross incomes up to $150,000 qualify
for the full tax credit. A lesser credit is available, but reduced
proportionally for taxpayers with for taxpayers with a modified gross income
up to $95,000 and couples up to $170,000.
- The
property must be your primary residence.
- Types
of property: Single Family homes, townhomes, condos, mobile homes, new
construction or existing homes, even a houseboat, just about any home as long
as it is your primary residence.
- You
do not have to pay this credit back as long as you stay in this primary
residence for at least 3 years,
- You
can claim the tax credit even if you purchased your new home under a mortgage
revenue bone (MRB) program.
AGAIN,
THIS IS A TAX CREDIT NOT A TAX DEDUCTION!!!! The tax credit is different than a
tax deduction. A tax deduction example: Assume the taxpayer is in the 28% tax
bracket and owes $8000 in income taxes, if the taxpayer receives an $8,000
deduction, the taxpayer’s tax liability would be reduced by $2,240 (28% of
$8,000), or lowered from $8,000 to $5,760. Under a “TAX CREDIT”, it is the full
amount of $8,000
Florida
Housing Agency 1-850-488-4197/1-850-488-9809