state of california $10,000 "new home" buyer tax credit
Post on 18-May-2015
4.771 Views
Preview:
DESCRIPTION
TRANSCRIPT
Where homeownership education takes flight!
A Complete Guide to the
State of California $10,000 “New Home” buyer
Tax CreditPassed with budget on Feb. 20th, 2009
This notice brought to you by
Broadview Mortgage Corporation
1-866-667-6724
Where homeownership education takes flight!
CA - $10,000 “New Home” Buyer Tax Credit
• Added into the budget at the last minute as a compromise for legislators unwilling to raise taxes
• Signed into law and amends Section 17059 of the California Tax Code effective immediately
• Must purchase a “New Home” certified by the builder to have never been lived in
• Must purchase on or after March 1st, 2009 and before March 1st, 2010
• No first time homebuyer restrictions
• No income restrictions
• There are no requirements that you use the builder’s lender or sales agent to claim this credit
Where homeownership education takes flight!
CA - $10,000 “New Home” Buyer Tax Credit
• Tax Credit earned is the lesser of 5% of the purchase price or $10,000– $200,000 purchase price for full $10,000 tax credit
• Home must be primary residence
• Credit paid back if you sell or move before 2 years
• $100,000,000 maximum allocated for this credit Distributed on a First Come – First Serve basis– At max credit paid – 10,000 “New Home” buyers
• Credit is paid in 3 yearly installments of $3,333
• Single or Joint Taxpayers due full credit– Married filing separate split credit
• Joint tenancy credit split based on ownership
Where homeownership education takes flight!
CA - $10,000 “New Home” Buyer Tax Credit
How to Claim the Tax Credit
• Builder / Seller must provide a certification that home has never been previously occupied to both buyer and franchise tax board within 1 week of purchase
• Taxpayer must include this certification with the timely filing of an original tax return– Unsure if amended tax returns are eligible– Tax credit may not be claimed until 2009 if so
• “The Franchise Tax Board may prescribe rules, guidelines, or procedure necessary or appropriate to carry out the purposes of this section, including any guidelines regarding the allocation of the credit allowed under this section”
Where homeownership education takes flight!
For more information
1-866-667-6724or email me at
Scott@REblueBird.com
Educating and Empowering Homeowners to make financially sound and informed decisions about homeownership
top related