From IRS re 5405 Signature on Settlement Statement

[taxea]

Got this today:

The IRS has provided additional clarification regarding documentation requirements on the First-Time Homebuyer Credit. The IRS encourages buyers seeking the homebuyer credit to sign the settlement statement when they file their tax return -- even in cases where the settlement form does not include a signature line.

The IRS recognizes that elements of the settlement document, often a Form HUD-1, may vary from jurisdiction to jurisdiction and may not reflect the signatures of both the buyer and seller. While the Form 5405 instructions indicate that a properly executed settlement statement should show the signatures of all parties, the IRS has clarified that it will accept a settlement statement if it is complete and valid according to local law. In areas where signatures are not required on the settlement document, the IRS encourages the buyer to sign the settlement statement prior to attaching it to the tax return. In situations where the signature of the seller is not on the settlement document, the IRS advises the buyer to still sign the document.

[Gretel]

Great, just more complications! Just what we need. But thanks for posting.

By the way, does anyone know what the current turnaround time is for tax returns in this credit?

[tilt53]

This is really helpful

CA doesn't have sigs from all parties. I went round & round on another forum about it. This will make it so much easier.

[David1980]

CA doesn't have sigs from all parties. I went round & round on another forum about it. This will make it so much easier.

I agree, we don't see signatures on the HUD-1's here in WA state, so this is good news. Makes it easier, not more complicated.

[Black Bart]

Great, just more complications! Just what we need. But thanks for posting.

I agree; anything you don't already have usually takes some time and trouble to get.

By the way, does anyone know what the current turnaround time is for tax returns in this credit?

I don't have any information for 2009 returns, but did an amended 2008 for a couple on December 2nd (contract sent with it) -- they got the money on February 5th. Another amended 2008 client (did it herself) was in today; she mailed hers in September. In early December got a letter asking for copy of driver's license, proof of residence and mailing address, utility bills, and I don't know what else. She sent it in and then called later in December -- they said they were still working on it and she would get it by February 6th. As of today, she's heard nothing else. Looks like it's just slow as Christmas all over.