New homeowner credit.

[superman]

I just had a client e-mail me and said his friends said you can get the 8k credit on a new home now and wanted me file his form so he can get it. I guess he will not like my answer that he still has to wait a few months. Hs anyone else had this happen yet this year? The fun is already beginning should be a great season.

[Burke]

He's probably talking about amending 2008 to get the $8K. They are taking 16 weeks to process. Is that what you are talking about? Has he even bought a new house?

[solomon]

I just had a client e-mail me and said his friends said you can get the 8k credit on a new home now and wanted me file his form so he can get it. I guess he will not like my answer that he still has to wait a few months. Hs anyone else had this happen yet this year? The fun is already beginning should be a great season.

Perhaps the email alludes to this:

U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan Announces New FHA Loan Permits Using $8,000 First-Time Buyer Tax Credit Toward FHA Loan Closing Costs

Here is a link to the entire press release:

http://www.thinkglink.com/article/2009/05/29/use-8000-tax-credit-toward-costs-with-fha-loan

[dyne]

Yes, he CAN file a 1040-X to claim the first time home buyers up to $8,000 credit NOW for
the tax year 2008 if he bought and lived in a home during 2009 but before Dec 1. I have filed
two of these. See irs.gov for details. He does NOT have to wait to claim this on his 2009 tax return.

[superman]

That is it.

Burke that is what he is talking about. Is it really taking 16 weeks to process? I would think that it would be better to just wait but they do not want to.

Thanks for the info source.

[Burke]

Yes. He would have to file a 1040X (paper) and they are manually processing them, so he probably won't get it until end of Dec or Jan anyway. If he waits until 2009, I don't know of any reason it cannot be processed electronically.