Jose Cohen, C.P.A.

Buying a House? Get an Extension!
Monday, 03.23.2009, 02:12pm (GMT)

Have you bought a new home in 2009 (for the first time or after not having owned a home as your principal residence for 3 years), or know someone who did, or are planning to buy a home before December 2009?

If the home has already been purchased, a refundable IRS tax credit of $8,000 can be taken on your 2008 income tax return if your return has not yet been filed, OR an AMENDED 2008 return can be filed to get the cash back now.

If you plan to buy a home later in the year, you should consider filing an extension to file your tax return until after the home is purchased. Our firm can file an amended return for you now so you can get your cash as soon as possible and do not have to wait until filing your 2009 return next year.

Note: There are income limits for claiming the credit:

  • for single taxpayers is $75,000 (The tax credit amount is reduced for buyers with a modified adjusted gross income (MAGI) of more than $75,000);
  • the limit is $150,000 for married taxpayers filing a joint return (The tax credit amount is reduced for buyers with a combined modified adjusted gross income (MAGI) of more than $150,000);
  • The phaseout range for the tax credit program is equal to $20,000. That is, the tax credit amount is reduced to zero for taxpayers with MAGI of more than $95,000 (single) or $170,000 (married) and is reduced proportionally for taxpayers with MAGIs between these amounts.

Please contact us for additional information. You can also check this information from the IRS website clicking here, or visiting,,id=187935,00.html

Jose Cohen (by way of my friend Joseph)