Critical Essay
- Submitted by: LadyO
- Views: 948
- Category: Politics
- Date Submitted: 08/22/2010 08:03 PM
- Pages: 8
- Report this Essay
American Recovery and Reinvestment Act
Stimulus Package
First-Time Homebuyer Tax Credit
& Jobs
Regulatory Processes and Administrative Law
CRN: 22112332
Octavia B. Foster
April 30, 2010
Today I was suppose to sign a binding contract for a home. I missed the deadline of
today because I was unable to locate a home that was conducive to my daughter
and I. First-Time Homebuyer Tax Credit entitles people to up to 8,000 dollars of stimulus
money. Part of a US$787 billion stimulus package, better known as American Recovery
and Reinvestment Act (ARRA) of 2009. On November 6, 2009, new legislation was signed into
law which extends and expands the first-time homebuyer credit allowed by previous Acts.
The new law:
* Extends deadlines for purchasing and closing on a home. Under the new law, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2010 and close on the home by June 30, 2010. For qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 return.
* Authorizes the credit for long-time Homeowners buying a replacement principal residence. For the first time, long-time homeowners who buy a replacement principle residence may also claim a homebuyer credit of up to 6,500. They must have lived in the same principle residence for any five- consecutive year period during the eight-year period that ended on the date the replacement home is purchased.
* Raises the income limitations for homeowners claiming the credit People with higher incomes can now qualify for the credit. The new law raises the income limits for homes purchased after People with higher incomes can now qualify for the credit. The new law raises the income limits for homes purchased after Nov. 6, 2009. The credit phases out for individual taxpayers with modified adjusted gross income (MAGI) between $125,000
and $145.000 or between $225,000 and @245,000...
Stimulus Package
First-Time Homebuyer Tax Credit
& Jobs
Regulatory Processes and Administrative Law
CRN: 22112332
Octavia B. Foster
April 30, 2010
Today I was suppose to sign a binding contract for a home. I missed the deadline of
today because I was unable to locate a home that was conducive to my daughter
and I. First-Time Homebuyer Tax Credit entitles people to up to 8,000 dollars of stimulus
money. Part of a US$787 billion stimulus package, better known as American Recovery
and Reinvestment Act (ARRA) of 2009. On November 6, 2009, new legislation was signed into
law which extends and expands the first-time homebuyer credit allowed by previous Acts.
The new law:
* Extends deadlines for purchasing and closing on a home. Under the new law, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2010 and close on the home by June 30, 2010. For qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 return.
* Authorizes the credit for long-time Homeowners buying a replacement principal residence. For the first time, long-time homeowners who buy a replacement principle residence may also claim a homebuyer credit of up to 6,500. They must have lived in the same principle residence for any five- consecutive year period during the eight-year period that ended on the date the replacement home is purchased.
* Raises the income limitations for homeowners claiming the credit People with higher incomes can now qualify for the credit. The new law raises the income limits for homes purchased after People with higher incomes can now qualify for the credit. The new law raises the income limits for homes purchased after Nov. 6, 2009. The credit phases out for individual taxpayers with modified adjusted gross income (MAGI) between $125,000
and $145.000 or between $225,000 and @245,000...