Thursday, May 27, 2010
Tax Credit Extended For Active Duty Military
U.S. military personnel who are out of the country for 90 days (since 2008) may have an extra year to get the tax credit, up to $8,000, for buying a home.
The active-duty rule is not new. It’s part of the current tax credit law, though its use is limited. The qualification must be for “official extended duty outside the United States for at least 90 days after 2008 and before May 1, 2010.” Should that be the case, the homebuyer has an extra year to buy a home. He or she has until April 30, 2011, to secure a binding contract, and until June 30, 2011 to close on the home.
Other conditions such as a maximum $8,000 for first-time buyers and $6,500 for move-up buyers still apply. For advice in any specific case, consult a qualified tax advisor. The applicable IRS publication is posted online.
at May 27, 2010
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