FTHB (sorry folks)

[Kurly]

Sorry about bringing up this dead horse.

Scenerio:
Taxpayer & Spouse divorced late 2008.
Joint Ownership Home sold early 2009.
Spouse purchased home May 7, 2009. After sale of Joint Ownership Home

Would the spouse qualify as FTHB. She is to early on purchase for Long Time Owner. and where would I find a clear (Muddy IRS) reference on this?

Thanks Folks

Kurly

[superman]

How Long

I think the first question is how long did the couple own the home that they lived in before the divorce? The rule is 5 out of the last 8 years for the set up home buyer of $6500.00. So at least she should qualify for that credit right. Just a thought hope this hels some!


Superman

[Jesse]

Search these Q & A's

http://www.irs.gov/newsroom/article/0,,id=187935,00.html

[AJsTax]

No credit

You are correct in that she purchased too soon for the long time owner's credit and she too recently had part ownership in the marriage home.
see TTB 11-3 and IRS.gov; FTHB credit, FAQs. It is all there.

[AJsTax]

dates are wrong for the credit

I think the first question is how long did the couple own the home that they lived in before the divorce? The rule is 5 out of the last 8 years for the set up home buyer of $6500.00. So at least she should qualify for that credit right. Just a thought hope this hels some!


Superman

She purchased in May. The long time credit starts for homes purchased after Nov 6, 2009.