Obama's 2009 Stimulus Package For First Time Homebuyers

Homebuyers who are buying their first home$75,000 - $95,000. Married but filing as individuals?
between January 1, 2009 and December 31, 2009, orEach spouse can qualify for $4000 or 5% of your
who haven't owned a home as their primaryhome's purchase price, whichever is less. This credit
residence in the past three years, and who meet thecan be accessed in one of two ways: You can save
income guidelines established for single or jointtowards your down payment, by electing to reduce
tax-filers can benefit from President Obama's federalyour payroll tax withholdings in an amount up to the
2009 First Time Homeowner Stimulus Package,credit you are eligible for; or, you can simply claim the
qualifying for up to the full tax credit of $8,000 oramount you qualify for as a credit on your annual
10% of the home's purchase price, whichever is less.federal tax return. It is important to note hat if you
You can benefit from this credit even if you own areduce your payroll tax withholding amount, but then
vacation or rental property.do not purchase/occupy a home within the eligible
Here's how it works: This federal income tax credit istime period, you must repay the amount of the tax
based on your Modified Adjusted Gross Incomecredit or your reduced tax withholdings to the IRS.
(MAGI) ? that is, your income after qualified taxThose who purchased and have a title for a home
deductions as calculated in your annual Federal taxthat began construction in 2008 but did not obtain
return, after regular deductions. Married taxpayerstitle until January 1, 2009 ? December 31, 2009, and
qualify for the full $8,000 or 10% purchase tax creditwill occupy their new home before December 31,
if their modified adjusted gross income is $150,000 or2009, may still qualify for this tax credit and be
less. Single taxpayers qualify for up to the full $8,000eligible to apply it to your 2008 taxes. The First Time
or 10% purchase price tax credit if their modifiedHomeowner Stimulus tax credit amount is not linked
adjusted gross income is $75,000 or less. Partial taxto your local property tax amount? it is a separate
credits are available to those who are married withfederal program under President Obama's economic
modified adjusted gross income between $150,000 -stimulus package.
$170,000 ,and singles with a MAGI ranging between