$15,000 for new home purchases?

[TheoPetro]

http://news.yahoo.com/s/ap/200...o_co/congress_stimulus

I know the $7,500 is available but did anything happen w/ the $15,000 one?

 

[StageLeft]

I just bumped this thread today (see front page on P&N). It's an $8k refundable credit.

 

[zephyrprime]

A credit isn't anything other than an advance on your taxes is it?

 

[bobsmith1492]

Originally posted by: zephyrprime
A credit isn't anything other than an advance on your taxes is it?

Actually on your next year's tax return, it cancels out up to that much of that year's taxes and refunds any extra.

So, if you bought a house for >80K this year for the first time, you'd have an 8K tax credit on your 2009 return. So, if I owed 5000 total in federal taxes in 2009, the federal government would send me a check for $3000. If I had had 5000 withheld in 2009 and owed 5000, they would send me 8000.

 

[Aimster]

So you are saying that if for my 2009 Taxes I was to get back $3,500 without the credit that they would send me a check for $8,000 making the credit really $4,500?

I was thinking $3,500+$8,000

 

[da loser]

Originally posted by: Aimster
So you are saying that if for my 2009 Taxes I was to get back $3,500 without the credit that they would send me a check for $8,000 making the credit really $4,500?

I was thinking $3,500+$8,000

you're right.

the refundable means you get $8k regardless of taxes paid.

so even if you owe 0$, you get $8k back.

 

[StageLeft]

Originally posted by: da loser

Originally posted by: Aimster
So you are saying that if for my 2009 Taxes I was to get back $3,500 without the credit that they would send me a check for $8,000 making the credit really $4,500?

I was thinking $3,500+$8,000

you're right.

the refundable means you get $8k regardless of taxes paid.

so even if you owe 0$, you get $8k back.

Yep it is literally a nice new sea doo for you as long as you buy a house.

 

[spidey07]

1st time home buyer only and there are income caps.

 

[Aimster]

Originally posted by: da loser

Originally posted by: Aimster
So you are saying that if for my 2009 Taxes I was to get back $3,500 without the credit that they would send me a check for $8,000 making the credit really $4,500?

I was thinking $3,500+$8,000

you're right.

the refundable means you get $8k regardless of taxes paid.

so even if you owe 0$, you get $8k back.

so I could expect a big check upwards of $10,000+ for my 2009 taxes.

 

[spidey07]

Originally posted by: Aimster

so I could expect a big check upwards of $10,000+ for my 2009 taxes.

If you already had 10,000+ withheld.

 

[bananapeel42]

people are looking at it retardedly. it's an 8k fully refundable credit you don't have to pay back. yes there are income requirements and you need to be a first time home buyer.


if you qualify and buy a house, you will get 8000 dollars from the government

 

[Aimster]

Originally posted by: spidey07

Originally posted by: Aimster

so I could expect a big check upwards of $10,000+ for my 2009 taxes.

If you already had 10,000+ withheld.

This thing sucks. I rather have the $7,500 interest free loan.

I expect 5k back for 2009 so I only get 3k out of this extra. blah

 

[Fern]

Originally posted by: Aimster

Originally posted by: spidey07

Originally posted by: Aimster

so I could expect a big check upwards of $10,000+ for my 2009 taxes.

If you already had 10,000+ withheld.

This thing sucks. I rather have the $7,500 interest free loan.

I expect 5k back for 2009 so I only get 3k out of this extra. blah

No, the $8,000 is added to the $5K for a total refund of $13K

Fern

 

[scruffypup]

Originally posted by: Aimster

Originally posted by: spidey07

Originally posted by: Aimster

so I could expect a big check upwards of $10,000+ for my 2009 taxes.

If you already had 10,000+ withheld.

This thing sucks. I rather have the $7,500 interest free loan.

I expect 5k back for 2009 so I only get 3k out of this extra. blah

No you are wrong in thinking here,... if you are going to get back ~$5000 next year on taxes and qualify for this credit,.. you would get ~$13,000,... maybe more if you were renting since you could deduct any interest on the mortgage and etc,...

The $7500 loan would be paid back over 5 years,... so your tax refund (or increased liability) would be about $1500 more a year for 5 years

I don't know why people are making this so hard to understand,.. taxes are not that complicated people! (Yes I do mean that with all seriousness)

 

[StageLeft]

If you are buying a house and qualify for this, it is a gift of $8k. That's as simple as it can be stated.

 

[classy]

Originally posted by: spidey07
1st time home buyer only and there are income caps.

I don't know about the caps, but I am pretty sure its not just for first time homebuyers.

 

[spidey07]

Originally posted by: classy

Originally posted by: spidey07
1st time home buyer only and there are income caps.

I don't know about the caps, but I am pretty sure its not just for first time homebuyers.

I've been trying to find reliable information on details but coming up empty, most say it's first time buyers only (first time meaning you haven't had a home as your primary residence for 3 years).

It starts phasing out after 75k AGI, spreading that wealth around. Spread it around.