OT: Tax Question (extension)

[WharfRat+]

I'm sure all the accountants are too busy to post on the RX right now but I figured I'd ask anyways.

I am soon to be under contract on my 1st house. I want to file an extension on my taxes so that when I close (in May), I can claim the $8000 1st time homebuyer tax credit on my 2008 tax return (I believe this is possible?).

My question is, can I file my state taxes on time, and ask for an extension with my Federal, or do I need to file the extension for both?

I just got the form from Turbo Tax to get the extension. Is there anything else I would need to do?

 

[LineTamer+]

i do not beleive you need to file an extension. Just file as normal then file an amended return once you close.

modified agi needs to be under 75,000 for single.

 

[moethepuppy]

Can you claim the credit if you didn't purchase the house in 2008? I thought you'd have to wait when you file your 2009 taxes to take the credit for buying a house this year.....

 

[TheKinz]

I agree with Moe. If the deal closes in 09 how can you file it in 08??

Anyways, extensions are no big deal. I do it every year and no issues.

 

[LineTamer+]

that would be logical but with the gov't making the rules, who says they follow logic.

Here's the link:

http://www.federalhousingtaxcredit.com/2009/faq.php

Look at #20.

If I’m qualified for the tax credit and buy a home in 2009, can I apply the tax credit against my 2008 tax return?

Yes. The law allows taxpayers to choose ("elect") to treat qualified home purchases in 2009 as if the purchase occurred on December 31, 2008. This means that the 2008 income limit (MAGI) applies and the election accelerates when the credit can be claimed (tax filing for 2008 returns instead of for 2009 returns). A benefit of this election is that a home buyer in 2009 will know their 2008 MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount.

Taxpayers buying a home who wish to claim it on their 2008 tax return, but who have already submitted their 2008 return to the IRS, may file an amended 2008 return claiming the tax credit. You should consult with a tax professional to determine how to arrange this.

 

[LineTamer+]

Can you claim the credit if you didn't purchase the house in 2008? I thought you'd have to wait when you file your 2009 taxes to take the credit for buying a house this year.....

sounds like you can claim it either way...as long as it settles beofre 12/1/09.

If one didnt need the money upfront, I would just wait until you file 2009 return, IF you are still going to be within the guided income limits.

 

[moethepuppy]

well after all it is the federal government so I guess you should throw logic out the window....LOL

 

[zeeman]

You can file state return even if Federal return hasbeen extended.

 

[WharfRat+]

sounds like you can claim it either way...as long as it settles beofre 12/1/09.

If one didnt need the money upfront, I would just wait until you file 2009 return, IF you are still going to be within the guided income limits.

Why wait? I'm going to get the $8,000 so I'd rather get it in May as opposed to next February.