Homebuyer Tax Credit Extended and Expanded

On November 6, President Obama signed the Unemployment Insurance Bill, which contains the Homebuyer Tax Credit extension and expansion. Many parts of the bill take effect immediately. As of the signing of the legislation, the income limits increase to $125,000 adjusted gross income on a single return and $225,000 on a joint return. In addition, the so-called "move-up" credit is also in effect as of November 6. Thus, individuals who have used a home as a principal residence for five consecutive years of the past eight years will be eligible for a $6,500 refundable tax credit for purchases completed between November 6, 2009, and April 30, 2010.

• NEW Homebuyer Tax Credit Changes  
   
• FAQ: Extended $8000 and Expanded $6500 Tax Credit