Members of the military and certain other federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and qualify for the credit. Thus, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2011. If a binding contract is entered into by that date, the taxpayer has until June 30, 2011, to close on the purchase. Members of the uniformed services, members of the Foreign Service and employees of the intelligence community are eligible for this special rule. It applies to any individual (and, if married, the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010.  Click Here For More Details.

How to Get the Extended Home Buyer Tax Credit

All the Realtors at Realty Executives - Hedges Real Estate are very happy that the home buyer tax credit was extended and expanded to also help home buyers who owned their previous home for 5 years or more.  We would love to help you find your next Lawrence, Kansas, Eudora, Kansas, Baldwin, Kansas, Douglas County Kansas, Northeast Kansas, or Olivia Farms in Junction City, Kansas home.

If you are thinking about buying a home in Kansas, then please talk with us about the purchase of a home in Kansas in order for you to take advantage of the Extended Home Buyer Tax Credit. Here's what you have to do to get your benefit:

Documentation of Purchase

Details concerning the precise documents required to confirm your purchase have not yet been released. When this information becomes available, we will include instructions and links to the appropriate forms.

When to Apply the Credit

Buyers purchasing homes on or before December 31, 2009 may claim the credit on their 2009 tax returns.

Buyers purchasing in 2010 will have the option to:

•  Claim the credit on their 2009 return, even if the purchase is completed after December 31, 2009;
•  File an amended return for 2009 if their purchase is completed after April 15, 2010; or,
•  Claim the credit on their 2010 tax returns.

You will need to do three things to claim the credit on your 2009 tax return:

1. Fill out Form 5405 to determine the amount of your available credit;
2. Apply the credit when you file your 2009 tax return or file an amended return;
3. Attach documentation of purchase to your return or amended return.

Consult your accountant or tax preparer for details to be sure that you qualify.

Details and Frequently Asked Questions about the $8,000 Tax Credit directly from the IRS - Click Here