Tax Credit Final Amount: $8000

The stimulus bill has now been passed, but the $15000 tax credit did not survive the cuts made to the original bill. However, the new tax credit is still a drastic improvement upon the old $7500 credit.

$8000 tax credit highlights:

• The $8000 tax credit is available only to first-time home buyers
• The $8000 tax credit is available only when the first-time home buyers buy a primary residence
• The $8000 tax credit is available only to first-time home buyers buying a primary residence between January 1, 2009 and December 1, 2009
• The $8000 tax credit does not require repayment
• The $8000 tax credit is claimed on a tax return and reduces the tax liability. If the credit is more than the tax liability, the unused credit will be issued as a check to the person claiming the credit
• If you sell the home within 3 years, the entire $8000 tax credit must be payed back