There has been a lot of talk (and confusion) about the economic stimulus bill and what it means to home buyers. Who qualifies? What year can I claim the credit? How much of a refund would I get back? What are the criteria to receive the credit? So I'm going to attempt to answer the most common questions about the bill. Keep in mind, I am NOT a tax professional or accountant and always recommend when it comes to your taxes to seek the advice of an accredited tax professional.
That being said, the bill states that first time home buyers can claim a tax credit worth $8,000 OR 10% of the home's value, whichever amount is less. So, if you bought a condominium for $65,000, your tax credit under the bill would be $6,500, not $8,000.
Qualifying
In order to qualify for the credit, the home purchase must be made between January 1st and November 30th of 2009 (so if you buy a home on December 1, 2009 you are not eligible). In addition, there are income restrictions as well. To qualify, a single person must make less than $75,000 a year. Married couples must make under $150,000 a year. However, higher income buyers may receive a partial credit. You must also live in the house purchased for at least three years or you will be required to pay back the credit. The property being purchased can not be owned by a close relative like a parent, grandparent or one of your children. The definition in bill for a first time home buyer is anyone that has not owned a home in the last three years.
Tax Filing
The credit can be claimed on your 2008 or 2009 income taxes. Now as I said you can claim the credit on your 2008 tax filing. If you have already filed them, you can file an amended return to claim the credit if you wish to do so. Based on the feeback we've been getting, the process takes about 12 weeks. Another great thing about the credit it that it is fully refundable, so even if your total tax bill (refund) is less than $8,000 (and you qualify for that amount of a credit), you would still receive the full $8,000 back plus the amount you had overpaid.
For example, John's taxes showed that he had paid $5,000 in taxes over the year. He filed his return and he actually only owed $3,000 in taxes. Normally he would have received a refund of $2,000. But under this bill, he would receive the full $10,000 instead! To claim the credit on your taxes is just a matter of filling out the form, without any additional paperwork involved.
This is a simplified breakdown of the economic stimulus bill. I highly recommend consulting a professional tax service regarding your taxes. You can download the tax form here: http://www.irs.gov/pub/irs-pdf/f5405.pdf
Thank you for reading our real estate blog and feel free to contact us for all of your Las Vegas NV real estate needs.
source: CNNMoney.com
Finally!
I send me amendment in on Sep. 4th. They received Sep 8th. On Oct. 26 received letter saying I was sent to exams. On Nov 6th received letter for more information. On the same day I faxed information. Early December (i don’t remember date) I received letter saying they had received the information. January 11th I received a letter saying my refund had been approved and check would be mailed out in 6-8 weeks. I received the check today Feb 5th.
This is a Scam
My husband and I filed an amended return for 08 back in Septemebr when we bought our house, and we are still waiting for the money. First we were told end of January, then the 11th of February. When I called the other day I was told it would be another 180 days because they couldnt verify that I purchased my home ? I read an article somewhere were it said they could make you wait three years to be sure you bought the ouse to live in and not just for the credit.
My daughter was married
My daughter was married until May of 2009, she was legally separated at the end of the year. They bought a house, but her name wasn't on the loan. Is she entitled to half the first time homeowners tax rebate. Her ex told her NO!
confused
My husband and I brought our house in july 09. filed an amended tax return of our 08 taxes so we can recieve the credit in do time. well it has been well over 16 weeks now and still no word and everytime i call the IRS they say call back 30 days from now. NOw we are in a situation where we are wanting to move back to our home town. but we really need the money from this home credit. Is there a way to sell our house and buy another one and apply for the credit again if we dont except the credit this time? ? please help.......
media coverage
What I can't figure out is how the media has not caught on to what's going on with this yet. I can picture the 60 Minutes piece on this right now with an IRS representative giving stupid answers, hiding behind the blanket statement that there's been rampant fraud and they had to slow things down to stamp out the fraud, maybe admitting that they will try and do better, a few people telling their horror stories, etc., etc......
At my whits end
Sometimes I think that my life was destined to fail since the day I was born.
I have been successful very early in my life, not by choice, but because I’ve endured many heartaches and struggles, lost family members, nothing to really hold on to, as a truly happy human being would.
I purchased my first home at an early age back in June 2009, amended my 2008 return just days after closing. Gave it the 14 weeks, nothing. Called IRS, told to wait, they are getting backed up, no big deal, things are going alright, granted 8k would always be nice. Kept calling when I got the chance, went past the 16 week mark, told to wait. It was in early November when it finally went to exams, and I was supposed to receive something in the mail within a week, a month later, I finally got said letter from exams, promptly replying with the requested information.
A week before Christmas I lost my job; and no, like many Americans I didn't really have much of a cushion....savings, thus was in not a very good financial situation.
Early January I was assigned an advocate due to my financial situation, faxed over the information to her, as exams apparently still hadn't received my information. I regained employment but took a major pay cut, I’m behind on my mortgage, my credit cards, my bills, everything, next month once my delinquencies are reported to the credit bureaus my credit will be, much like my life, in shambles. Advocate hasn't given any definitive information about what to expect, I don't know what to do. All I know, is that it's over, I give up, my credit is ruined, I have no family, I have nothing, nothing but a house that is late on a mortgage, maxed out and late credit cards.....I give up, I really do. Upon coming to terms with my financial situation, suicide crossed my mind. Our lives, and the world, everything revolves around money…. If I got the credit today, I’d be fine, I’d be able to pay everything that would need to be paid, but it seems that the credit is just like happiness in my life, it will never be achieved, and thus, I hate to say it, when that check comes in the mail, I probably won't be among the living.
Im sorry to hear this, but
Im sorry to hear this, but life is nothing but a journey of ups and down. Giving up gives those that hate you a victory. You never know what tommorow will bring, life's funny like that. You could win the lottery tommorow, you could meet the love of your life tommorow and start your own family regardless of your past. As far a credit is concerned, the new rules makes it harder for credit compies to crew you over unless you are 90 days late. And you can always build that up. And no matter what or how hard you think your life it, there is someone else out there living with harsher circumstances. Believe me Ive been there. Good luck!
still waiting for tax credit
I found this blog by way of a google search for "when will I get my tax credit". My situation seems to be as yours, the tax credit bill seems almost as if it is a fraud and does not really exist being that delays are everywhere in waiting for any response from the IRS for any information on filing and even worse waiting any information when one will even receive their tax credit if at all. And the IRS website keeps saying wait, wait, wait. I am in debt as you, behind on just about every bill I can think of with not much income. I sometimes wonder too if I will have drowned by the time the tax credit arrives, if ever.
DON'T GIVE UP!
To At My Whits End,
Please DO NOT GIVE UP! Suicide is NOT this answer! God has placed you on this earth for a purpose. Money problems, credit problems, life problem, etc. are not worth losing your life over. Please pray about your situation. Attend a loving God-fearing church for encouragement. I recommend that you view some cds or dvds of Bishop T. D. Jakes sermons. Bishop Jakes has great messages for situations like the ones your in. I know this, because his messages has helped me tremendously. Please hold on until a change comes. You'll win if you don't quit! You may also need to seek counseling. You are a great person. From reading your post I can tell that you're hard-working, passionate, driven, lovable, and I could say many more positive things. You have overcome so many struggles and you have made it this far. Don't give up now. You've come this far for a reason. May God bless you and keep you. Your change will come and you will be happy here on this earth.
Sincerely,
Forgiven
Suicide is never the answer,
Suicide is never the answer, there are things more important in life than money and material possessions. You need to talk to a counselor.
RE: At My Wits End
Hello, I replied earlier to your post and I wanted to make another comment to you..Jesus loves, seek Him and He will show you the way. I am not hear to preach and even try to convert you as a Believer, but I have been in a similar situation as yours.
About close to 12 years ago, I lost my husbsnd at the age of 36 to atherosclerosis of the heart. I did not have family, and had a two year old son. I was at my wits end, going through grief, depression, fear etc. I kept hearing in my mind that suicide would take away the pain, but I looked into the eyes of my 2 year old soon, and suddenly realized that I had to be there for him. My husband was my life, and to see him deteriorate over the years broke my heart. I knew about Christ, but I did not know Him.
I was in such a financial strife, I did not have the money to remove my husband body from the hospital morgue! I did not know what to do. My daycare provider (who is my best friend) took me and my son into her home, and with care and love, she showd me who Christ is. I started reading the Bible, searching to see if He was real. I prayed and ask the Lord to show me Him, and through His mercy and grace, He did. Not His physical presence, but through His love that others showed me.
At my job, the Lord moved upon the heart of the people where they took a collection up, that not only paid for my husband funeral, but helped me through financial difficulties! I am not preaching to you, but I wanted to give you some insight of how the Lord changed my life.
No, my life has not been easy, but I am learning that if I will seek Him first, that He will never fail or give up on me, even when I give up on myself.
I have been waiting on this credit since 6/09, and I was so frustrated with the entire process. I was ready to give up on the credit, and then last week, I called the IRS and was told that the credit was approved! I did not rely upon the credit, the Lord has and is providing for me, but the tax credit was one of the incentives to help me make the decision of being a homeowner.
Listen, many of us have credit cards maxed out, behind in mortgage payments, etc., but we continue to have hope, and you need to hold on to that hope. I know that getting the credit will not help your financial situation, but you were able to find employment, even though you had to take a paycut, praise God that you were able to find a job. Do not give up, hang on, seek counseling, and pray, PLEASE.
Keep us posted on how you are, please forgive me for such a long post, but I hope to encourage you!!
you'll get. It is
you'll get. It is frustrating. This is just temporary. If you call the CC companies and pay like 5 bucks with explanation they wont report it (more than likey). I'm on the same time frame as you and kinda in the same boat. Credit is just credit.... A year ago my credit was 370.
hang in there. Good luck and best wishes...
RE: At my wits end
Listen, ending your life is not the answer, please, I pray with my whole heart, seek counseling, get some help, Please, Please. We are all in situations where it seems useless, hopeless, but hang in there! You were not created to be a failure or to see yourself as one, but you were created to live, and to live your life to the fullest.
I do not know if you believe in God, but I do, and I am praying for you now...I pray for the Lord to show Himself mightily in your life, to give you hope, peace and unspeakable joy! I pray that the Lord will comfort you, and to speak to your heart to let you know that He is here for you! I pray that the situations in your life that are overwhelming you, will be resolved, and that you will get the physical, mental and financial help that you need.
Please seek some professional counseling, please do not commit suicide, pray and seek the Lord's direction. Trust me, if you CALL OUT TO THE LORD, AND SEEK HIM WITH ALL OF YOUR HEART, HE WILL ANSWER YOU, I PROMISE YOU.
I am not a religious person, but I have been in a similar situation as yours, but I called upon the Lord, and believe it or not, He answered! Doors that were once closed were opened, and the unhappiness and depression that I was under was lifted. If the Lord did this for me, He will do it for you also.
Please keep us posted and let us know how you are doing. We are all suffering through this economy, but you must have hope. Everyone that has posted on this site will tell you of their horror stories of financial downfalls, etc., but you will also hear of hope, not giving up, and seeing things through.
We are here for you, keep posting and let us know how you are! God bless, and I send you my love as a Chrisitian and as one who has BEEN THERE!
not the ansswer
Hi there,
Suicide is never the answer. God loves you and if you seek the Lord you will make it thru this hard time. Know that your credit is coming. You will get out of this rut. Life is to short to not enjoy every minute. When it is your time to go to Heaven he will call you. Until then, look to him for strength and believe in yourself. I am sure you have friends that will also support you during this time. It sounds like you have endured a lot of loss in your life perhaps talking to a therapist is also an option. Please take care and be strong. You WILL make it thru this hard time. Just don;t give up!
Well, my husband and I check
Well, my husband and I check our bank account daily in hopes of the money being magically there each time. NO SUCH LUCK! We call every other day to check on the status. It is turning into a game with the IRS at this point. I don't trust it. Everytime I call, I laugh at the person on the other end. I feel bad, and it isnt their fault, but I am in disbelief now. Just now I called, and the man told me that it looks as though my check will be mailed out Feb 12th. We filed on Oct. 15th. I asked him if I didnt recieve my check shortly after the 12th, if I could call someone and say that he told me false info. The man put me on hold and then came back on the line to say, just for your info, it takes 2 weeks for the check to come after it is mailed. HMMMMM. I have gotten birthday cards from my grandparents in Arizona in 1 day!!!!!! I am planning on blogging on here again to inform y'all if I got the check or not. Then I plan on calling again and reporting this false info. Okay, maybe that is harsh. SHOW ME THE MONAYYYY!
It is true???
We closed on our home in June 2009, IRS recieved the amended return June 29th, and we are still waiting, 31 weeks!!!! We contacted a tax avocate in Dec, and finally got work today that we should have the money in 2 weeks, and to call him if we don't get it, .........BUT he stated that if the original return was direct deposit, the credit would be also, i told him that we no longer have that bank account, and he said that they would just mail me a check then??? So i am wondering when i will actually see the money?? We have already filed our 2009 taxes and gotten the money back, and that is what drives me crazy, out taxes were filed and refund back in less than 2 weeks, but we are going on 32 weeks for the home buyers credit???
This is just crazy!! Wondering if they were waiting for people to start paying their taxes before sending out any more home buyers credits.... Will update once i actually have the check in my hand!
Filing Seperated
if my husband purchased a house and everything is in his name...we usually file married filiing seperately, he's allowed to claim $4,000.00 on his taxes, would I be able to claim the other half even tho were married, and the house is NOT in my name?
Do I qualify as first time home buyer?
I sold my primary residence on 5/17/2006 and bought a home on 5/22/2009.
Since there was 3 years gap between the sale and the re-purchase, do I qualify as first time home buyer for the purpose of $8000 tax credit?
Finally.... Some Progress!
After waiting 24 weeks with no word from the IRS at all, we filled out the application & requested a Tax Advocate for help. Delighted, we got a call from an advocate 2 days later. We explained our situation & frustration. They requested a bunch of info (basically what you've already read in this blog). We faxed everything. About a week later, our advocate called us back. They said we should be approved with no problems & took all our info/paperwork & forwarded it back to the IRS for approval.
A week later we got another call... our credit has been APPROVED! She said she'll call us back as soon as she finds out the date our check will be issued.
Why didn't we do this sooner? We were frustrated with calling the IRS & getting no where. Apply for an advocate. If you get denied for an advocate, call your congressman's office for help. They will help get the ball rolling.
Still waiting 24th week
It has been over six month what I had closed on home and 24th week since my paperwork was submitted by tax accountant. I may be leaving within this month to TDY in oversea assignment, which would end at the beginning of 2011. I was hoping that this rebate would be a sufficient boost to cover spouse's expenses and for a family emergencies leaving behind. I am in serious doubt seeing this money ever mailed to me by IRS.
Curse of the IRS
I wonder what we've done to annoy the IRS? Every year we e-file online with H&R Block (we usually get a refund) and almost always the IRS finds a problem with our return. Just got our 2009 e-filing rejected by the IRS due to a supposed error regarding one of our dependent's SSNs. This is not the first time this has happened. I'm sure it won't be the last. We have to paper file now and await the joy this is certain to bring. We bought our first home in August of 2009. The IRS got our amended return on Sept 30, 2009. We heard nothing for 8 weeks. I called and was told it was being processed with some problem dealing with our address. I live in the legally incorporated town of Islamorada, Florida. However, the U.S. Postal Service's database considers this as being in Tavernier, Florida. We get mail to both addresses as it's the same place. However, try explaining this to a bureaucracy...let alone two monolithic government agencies. At any rate, I was told they'd forward a request for information to my caseworker and that they'd have 30 days to respond to me. If they did not, then I could get a Tax Advocate. The IRS has never formally requested any information from us, nor have they even officially told us what the delay is about. Needless to say, they did not respond to us within the timeframe they gave us. I called today, to inquire about why our 2009 e-filing was rejected, and managed to learn that (supposedly) our $8000 tax credit situation "closed out" on February 2, 2010 and that we "should" be getting our check by the end of the month. I have no faith that we will get said money short of us hiring an attorney. Even then, we do not have the resources that the IRS has. It would be almost certainly an exercise in futility, possibly costing more than the credit itself. This experience has been a nightmare, not that that matters to the IRS or anybody who is not in the same boat. I work for a federal agency and know how lame bureaucracies can be, so I strive to never treat people in a crappy, bureaucratic manner. To bad I appear to be in the minority. I tell you, I wonder how our entire system of government does not simply implode...collapsing under its own onerous weight.
March Refunds?
...
"The IRS won't begin processing returns claiming the homebuyer tax credit until mid-February because it's testing the system to ward off fraud.
Taxpayers seeking the homebuyer tax credit and due a refund will have to wait four to eight weeks if they file with all the required documents. The earliest tax return filers can expect homebuyer tax credit refunds by the end of March, the IRS says."
...
First, does that mean all of us waiting in exams are waiting for this new fraud system to be in place before they even continue work on our amended returns? Second, if they are promising refunds in March for the people filing now, what are they promising all of us that have been waiting for four months to a year?
I would be happy knowing it was going to come in March, but I wouldn't count on it.
Home credit is a joke and no one's laughing....
Filed in October. Waited 8 weeks before I started calling. Was told in December I would get a letter asking for HUD1 form and utikity bill. Never received letter since they mailed to my old address. Nevertheless I mailed additional documents on my own. Meantime Jan 4th I get a property tax bill for suplemental taxes due in 30 days. Call IRS hotline again Jan 5th to see if they received HUD1 form yet. They stated they have all the paperwork and will send me a letter in 30 days telling me of their “decision” to grant me the credit. LOL!! This is a load of xz!o! And I hear folks say, well it’s free money!!! No I don’t think so…I would have bought a home regardless of credit, but the promise of a credit by my goverment certainly help motivate me to move faster and the bill I received for more taxes came 30 DAYS after I moved in, it’s not free money, it’s my money. Well Jan 15th, called again and was told that I was still in processing, they gave me a 800# for the EXAM ROOM that no one anwsers. Jan 29, called again, was told someone from exams would call me. No call of course. Feb 2nd, still in process, they said I have to wait until after FEB 5TH to request the help of a tax advocate since I will be at 17 weeks at that point. LOL! Outrageous is all I have say. Meantime my home need repairs and they want more property taxes.
Still waiting, and waiting and waiting. ...
I bought my home and closed escrow Aug 31st 2009.
I waited until the end of October to ammend my taxes because I found out that it was taking longer than expected to recieve the refund. I called the IRS in mid December to inquire on the status and was told that it is still in review. I then reciever a letter from the IRS requesting addetional documents to prove that i bought the home and that I live in it. I mailed in the documents and had it certified just like when I sent in my ammended copy of my taxes. I then recieved a letter starting that I will be getting a response by the end of January and I am still waiting. I also found out that this moneyis a loan from the IRS and that it has to be repayed back within the next ten years! I don't understand why we have to wait to get our money that was promised to us, however, if we don't pay our taxes, we get hit with all sorts of interest fees and penalties! I think that is a bunch of bull! But what's the alternative.
If you bought in August
If you bought in August 2009, then the money should be a credit, not a loan.
The credit only has to be
The credit only has to be paid back if you bought your house in 2008 and are taking the $7,500 credit.
not correct
If you are waiting on the $8000 first time homebuyer credit for a home purchase in 2009 it does NOT have to be repayed unless you fail to live there for 3 years.
HUD-1 Signed by Seller's Attorney
My HUD-1 form has been signed by the seller's attorney as their attorney-in-fact and not by the sellers themselves. Will this be a problem? Will the IRS reject this? Thanks!
First time home buyer credit
I don't think that the government understands that its not always about the money its about trust!!!! Our IRS seems to make new rules as they go, I asked to get a copy of the rules about the "exam" and I was told no by an IRS today on the phone. I have contacted the White House and State Senator Bill Nelson. I believe that this STIMULAS is to stimulate people, ALL it has done for me is make me mistrust a government that is already on shakey ground with its people and the trust that the American Public has. I will find out what and it there are rules to this bull#@$% game and I will report my findings to you the people who deserve the answers.
still waiting also, will be nearly a year when we get a response
bought in July, told to resent info in november. told again to resend in january. have tax advocate now finally that wont have a response to us until April 29, 2010, with who knows what kind of a response. 3 months short of a year. we told her we wanted an explanation with our money and she said "we can't provide you one". finding it alarming that the government is spending even more money on a tax advocate to find the money they already owe me
I have same story. Applied
I have same story. Applied for credit in 7/2009. Got a request for more documents Sent it. Got a letter stating the 'credit would be disallowed if I don't the SAME documents!! Sent again and haven't heard from them for over 5 weeks.
Got 8000 credit in 6 weeks
Myself and my wife each filed for 4,000. Sent both in on the same date (Nov 9th) I received mine 6 weeks later and then received hers 8 weeks later
a bit nervous....
did you send in any additional paperwork besides a copy of Form HUD-1, Settlement Statement, or other settlement statement....someone had told me that they are now asking for additional paperwork to verify that you live at the residence...but when we sent in our paperwork we only sent in what the IRS website had asked for. We had an accountant do it for us, so we trust that they know what they are doing, but hearing these stories makes me a bit nervous...
faxing in documents...
Okay so after reading through this blog I am thinking that I need to go ahead and fax in documents before this reqeust is made of me.
We purchased in October 2009, filed my 08 return about 5 days later. I received a letter stating that my 08 return had been amended but nothing about sending additional documentation. Does anyone have the fax number to where I can go ahead and fax proof of living in my new home???
I don't think it will do you
I don't think it will do you any good. I thought the same thing and faxed the documents. Four weeks later I got a request for the exact documents that I had faxed. It is almost like they just through faxes in the garbage if they haven't requested the information yet.
8 months!!!! What is this crap
I filed my return in early june i was told that it would take around 8 - 16 weeks for it to get back to me about three months into it i called to check the status of my amendment, just to find out that they lost some of the papers and that i needed to send every thing to them again and that the whole process would have to start over, ok i understand that people make mistakes. so i sent the paper work to them again. about a month goes by and i get another letter from them, stating that i did not send them every thing they needed. Great!!!! so with that out of the way and them having every thing that they would need i am on the yellow brick road to my return right? WRONG!!! Because I bought the house and i am under 21 I get flagged for fraud and every thing has to be re examined, and more paper work is needed great!!! I am now going on 8 months and the only thing that they tell me is to check back in a month... having that said once every thing is done and they do approve it... hopefully i am still going to have to wait another 2 months before i actually get it. so I am looking at receiving it in june... A YEAR REALLY !!! COME ON!!! Obama is talking about getting the economy back up on its feet, how is that going to happen when the irs has every ones money!
GREAT
Okay, I purchased my home on Aug. 22, 2009. Amended my taxes on Aug. 24, 2009. IRS received my Amendment on Aug. 27, 2009. I'll be going on 6 months Feb. 27, 2010. I just got off the phone and now the lovely rep from the IRS just told me that it's still being reviewed????
And now that it is tax season, it will take a lot longer!!! I asked her how much longer??? She said a long time. But could not give me an estimate. So all I can say is: GREAT!!!! Oh well, I'm glad I'm not in desperate need of this money. But it sure would be nice to receive before summer time so I go on a nice vacation and help my daughter with her first year of college :)
Good Luck to all of us waiting!!
I feel your pain
I am going on 9 months and counting. I have sent them my HUD-1, my tax statements, my untlity bills, and that is not enought. Now I must send them at least two fo the following: Bank satement with new address (within the last two months), State driver's license or I.D. with new address, mortage statement (within the last two months) with current address, pay stub (within the last two months) with the new address, or current car registration with the new address. I sent them all of the aforementioned, except the car registration pluse my W-2, Student Loans interest statement for my taxes, my tax information for my mortgage interrest, and I called them. Mind you they are sending me the letters addressed to my new home that I have to proove I am living in. This is insane!!!
Get a tax payer's advocate!
Get a tax payer's advocate! I bought my house in August 2009, and they were doing the same crap to me. I called the tax payer's advocates and I got one. I just got one last week, and I got a letter in the mail today saying that I'm going to get the money (plus interest) in 6-8 weeks! I couldn't believe how fast the tax payers advocate worked!
GREAT II.........
Oh, I forget to tell you guys. When I sent my amendment in I did not include my HUD-1 paper work. It did not ask me to when I sent it in. So, I've ask the REPS several times if I should send my documents in according to all the blogs I've been reading... they all told me NO....No need, but everything on their end looks good, but it's still in process??? I believe they are under staff and now that tax season has started GOOD LUCK.
As for these mysterious letters??? I've only received one, according to there files I should of received 3. I've asked them what were the other two letters sent??? They had no idea what the letters were... So maybe one day I'll receive them. LOL
You're not alone
This exact scenario is happening to me, as well. The most insulting thing is that I have been more than patient as the IRS jumps through their hoops.
I sent the amended return shortly after closing with appropriate paperwork, waited for 8 weeks before calling to check in on my status, sent MORE paperwork and my closing statements when required, and just recently was DENIED due to "the fact that I've lived in the home for many years." If they had read the closing statement that I sent months ago, they would have seen that that is not the case. They're also giving me far too much credit-- I'm only 24 years old and have been in school for years-- did they think I bought the place when I was 13?
In response, I sent them my deed, utility bills, mortgage information-- practically everything but my left arm. Why this runaround? I am also in a situation where some very necessary renovations are hinging on this return and it's all very frustrating-- it's not a "free" money situation; it's "what was promised is owed."
1st Time Homebuyer credit, 1 year and counting.
Filed for mine feb 6th 2009. Got a letter in July stating they needed more info *(taxes, Hud statement etc) faxed over twice on different days. Recieved a letter in sept 09 stating they needed another few weeks and would respond by Nov 1st. Nov 9th i get a letter requesting the same info again, which i faxed, twice, on different days. Mid December another letter says they will have an answer Jan 4th. Get letter Jan 5th saying they will answer by Feb 22nd. Called today and they said it was closed and i will recieve a letter by march. Asked what the problem was, they had no answer, but said they would send me a letter. I got screwed out of $7950 by the IRS, and they say my refund (1040) has errors on it (bull, went over it 3 times w diff tax advisors) and they claim it was "un workable" and i will recieve a 'letter'.. So far the IRS has sucessfully taken over 17800 dollars of my money. All with no reasonable explanation. i have been trying to get taxpayer advocates involved. Two Words, Good Luck.
wow its not just us
My boyfriend and I bought a house we closed it on july10 payed a proffesional to file our ammendment 51/2 months later still waiting, the reason we bought the house was cause of the tax credit, in fact we borrowed the closing cost and counted on that money to pay people off. Now behind on other bills trying to pay off what we borrowed, and can't even give them any answers. This is bs we all need to gang up and do something, we are calling cbs investigates and a few other places Please if everyone else calls too, maybe we can get answers. They are screwing us and we need to stand our ground.
I was just told my account
I was just told my account was closed on Jan 22nd. However, when I called the examiner, she conveyed to me that I signed a letter advising them (IRS) that I wish to NOT receive the home tax credit, which was a bunch of bullshiggity. Then she explains to me that I can still receive the credit, and should submit a letter stating I want to be reconsidered. She also told me what to verbiage to write in the body. I’m going to call them every single morning at 7am.
IRS IS SCUM!
My friend advised me to contact a Tax Advocate.
Nov. 6th, 2009
My husband and I closed on our house on Nov. 6th, 2009. This is not our first home, so we are trying to figure out if we qualify for the 6500 tax credit. We purchased a home in 2001 and live in it until 2007. My fear is that because we closed on the house on Nov 6th, we don't quality. Any insight?
I bought my house in 02/2009
I bought my house in 02/2009 and filed my taxes electronically 3 days later. Had my 10% within 3 weeks.
My friend waited, to file it on his 09 taxes......BAD IDEA! Cant say I didnt tell him how to do it!
we do things the right way and some how this all happens
we were supposed to close on the 29th of oct. we didn't close until nov. 22. we filed in dec. received it back jan. 11th saying there was a new form. we sent it out with all the paper work. i am just sick of people doing the WRONG THING and screwing the people doing the RIGHT thing over. With all this fraud it ruined it for a lot of us. We can afford our house but saved up for our wedding which we had been planning for over a year with people flying in and all which is on 04/16/2010 and i am not sure if we will have the money now. We figured that we would put some of the money toward the wedding and get most of it back along with things for the house we need like kitchen stuff and lowes gift cards. i am just so stressed out and upset about this. We bought a house instead of using the money for the wedding we were smart about it and some how this all happens. now i have no idea what to do with my invites. do i send them and have to call people or do i just wait until last minute and hope for the best.
Where is My Money?
I filed an amended return by certified mail to make sure the IRS received it. They received the return on 9/2/09. When I mailed the return, I also included a copy of the HUD statement that I received from my attorney at the closing. To date, January 28, 2010, I have not received my $8000 credit nor have I received a letter stating they need more information from me. My accountant has called the IRS a couple of times and they told him it is taking at least four months to get the credit. It is going on five months for me without the money. If I do not receive the credit in the next week, we will be getting a tax advocate. I cannot believe that this is taking so long. I put 20% down on my home and bought several items thinking "it's okay, I'll get $8000.00 back." Now, I have credit card debt that is preventing me from purchasing anything else for my home! So much for the stimulating the economy. They talk about wanting to give people jobs. why don't they hire some people who are out of work to help get caught up with this stuff. It sounds like they don't have enough people to handle the claims. Or, maybe they are waiting to get money from tax time. All I know is that it's BAD BUSINESS to offer something and not come through with it...I wonder if I can sue these guys for FALSE ADVERTISING
Home buyer Credit
I have been in exams waiting for my refund for 8 months. No apparent problems.... I just keep getting told to wait longer. I hope NOBODY is in favor of putting the feds in charge of healthcare. If it takes over 8 months to get 8k from the goverment, i'd hate to see how long it would take to get approved for a 40k surgery. This should be a warning to everyone about letting the goverment run anything! AND, it's not "free money", they already rob us all anyway. The way I see it they OWE me the money. The IRS is being paid with my money. We SHOULD audit the federal goverment... but heck, it take a lifetime to even begin to figure out that.
I held up my end...
All-in-all buying and repairing my first home has employed the services of 2 realtors, 1 lawyer, 1 plumber, 1 electrician, a dry-wall team of 4, a window team of 2, a kitchen designer, and countless cashiers as I buy renovation supplies from my local hardware stores... and we're only halfway done! In the Spring, we're getting our front sidewalk repaved and new carpeting. I also took a house that had been sitting vacant for over a year off the market and have therefore (marginally) increased the value of my new neighbor's homes. I am now buying new furniture and new appliances from local companies. My house was the product of a bankruptcy and its purchase allowed a woman to finally settle her accounts.
Now, I'm not saying that I put any of these guys' kids through college or anything, but it was work when work is hard to get. I have invested hours upon hours upon hours working my fingers to the bone to renovate this house. It's almost becoming a second job. The first time home buyer's credit is what influenced me to make this purchase and thus the subsequent purchases. The credit made me sit down and really analyze what I could afford, where I would need to cut back and save and inspired me to make the leap. I know my spending is really just a drop in the bucket, but I honestly feel the money I have already spent, plus my many many years as a tax-payer, plus my many many many many anticipated years as a tax-payer, as well as my new property taxes will more than make up for this incentive (without which I would not have bought my home). With the promise of the credit, I bought stock in the company for which I work, am planning on paying off my one remaining credit card and am planning to invest the rest in an MMA to build the much talked about Emergency Fund and further stimulate the economy.
If they had told me up front that I wouldn't be seeing this money for months, fine. If that's what it takes, that's what it takes and it IS worth it. Just be up front with me! Had I known it was going to take this long, I wouldn't have scaled back my credit card payments under the assumption that I'd be paying off the balance soon. If you had told me up front to send in forms instead of telling me point blank that nothing else was required, I would have done it. Happily. Stop telling me to call back in 30 days, then 60 days, then 30 more days and keeping me on hold for 30-45 minutes each time! Just tell me what to do and what to expect and I'll be there.
I honestly don't want to sound self-righteous, but I held up my end of the bargain with the government. They asked me to make a purchase; I did. I am extremely grateful, but I would like my tax credit in a timely manner, please. They promised me money in hand 4 months (and counting) ago. I have plans for it, it significantly impacts my life, and I would like to have it. I don't think it's too much to ask. And frankly, I'm getting really ticked off here.
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