Fthbc

[spencer]

What documentation is acceptable to the IRS to prove occupancy in a newly constructed home? Client says his county does not issue "certificates of occupancy" documents. Any thoughts? and thank you!

[Gene V]

From the instruction 5405

What To Attach to Your Return

If you claim the credit on your 2009 (or later) original or
amended tax return, you must attach the following
documentation regarding your main home (as applicable). If
you do not attach the documentation, the credit may not be
allowed.

Attach a copy of your settlement statement showing all
parties’ names and signatures, the property address, the
contract sales price, and the date of purchase. In most cases,
your settlement statement is your properly executed Form
HUD-1, Settlement Statement.

If you are unable to obtain a settlement statement because
you purchased a mobile home, attach a copy of your executed
retail sales contract showing all parties’ names and signatures,
the property address, the purchase price, and the date of
purchase.

If you are claiming the credit for a newly constructed home
and you do not have an executed settlement statement, attach
a copy of your certificate of occupancy showing your name, the
property address, and the date of the certificate.

Additional documentation. You should also attach the
following documentation, if applicable, to avoid delays in the
processing of your return and the issuance of any refund.
• If you checked the “Yes” box on line C, attach a copy of the
pages from a signed contract to make a purchase showing all
parties’ names and signatures, the property address, the
purchase price, and the date of the contract.
• If you are claiming the credit as a long-time resident of the
same main home, attach copies of one of the following: Form
1098, Mortgage Interest Statement (or substitute statement),
property tax records, or homeowner’s insurance records. These
records should be for 5 consecutive years of the 8-year period
ending on the purchase date of the new main home.

[RitaB]

Yeah, me too

I have done two of those, and our county does not issue the certificate of occupancy, either. We attached other items, like one TP was able to document that her natural gas usage was zero before 11/6/09, but I am waiting to see what happens. Would love to know what to expect.

We were able to prove the prior ownership of the old home with the tax records, no problem, but proving the date of occupancy for new construction with no certificate of occupancy being issued... boy.

[BP.]

Have an FTHB with new construction, and while TP's do have the dated Occ Cert, they also have homeowner's ins policy showing effective date of coverage. Maybe something like that would help your client prove occupancy?

[spencer]

Sounds good, thanks

Have an FTHB with new construction, and while TP's do have the dated Occ Cert, they also have homeowner's ins policy showing effective date of coverage. Maybe something like that would help your client prove occupancy?

Plus I called the assessors office. They say others in the county are sending Homestead Credit applications. I don't know why they won't issue certificates of occupancy.

[spencer]

Plus just

Plus I called the assessors office. They say others in the county are sending Homestead Credit applications. I don't know why they won't issue certificates of occupancy.

receives a zoning permit number for client. Will send it too

[RitaB]

Sounds good

Sounds like you are coming up with some good stuff. I am taking notes. I expect my two new construction clients will have to do some digging. Hope it is after tax season. Cause you know who ultimately does most of the digging.