Homebuyer Tax Credit Extended and Expanded

On November 6, President Obama signed the Unemployment Insurance Bill, which contains the Homebuyer Tax Credit extension and expansion. The United States House of Representatives, by a vote of 430-12, joined the Senate in passing the bill. Many parts of the bill take effect immediately. As of the signing of the legislation, the income limits increase to $125,000 adjusted gross income on a single return and $225,000 on a joint return. In addition, the so-called "move-up" credit is also in effect as of November 6. Thus, individuals who have used a home as a principal residence for five consecutive years of the past eight years will be eligible for a $6,500 refundable tax credit for purchases completed between November 6, 2009, and April 30, 2010. See more details on the the changes to the Homebuyer Tax Credit below.

 Changes to the Homebuyer Tax Credit Law
 Frequently Asked Questions About the New Bill