What is the documentation required if taxpayer built his own home and did not finance. He paid cash as he went. Have receipts for the construction and they moved in on 12-19-2009. Would you send a copy of all the receipts? All are neatly taped to paper with about 3 receipts per page and have about 100 pages (at least). The only other things we have to send with the returns would be as required the change of address on bank statements, pay stubs, and tag receipts. Any suggestions?
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Many places do not issue a certificate of occupancy. We have used copies from the local tax assessor's office of assessments made before and after the home was built. Also copies of building permits, electrical permits, etc, and copies of driver's licence before and after the address change. We have also used a letter written by the tax assessor and building inspector stating that the home was indeed a newly built home, but I don't think they like to write those letters so I don't suggest that to anyone unless we really need it. I would include a letter from the taxpayer with the facts as you stated and let IRS know that there are receipts if needed as proof. The more documentation you can send, the better.
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