Homebuyer Credit Extended to September 30, 2010
President Obama signed the Homebuyer Assistance and Improvement Act of 2010 on July 2. The bill extends the closing date deadline to qualify for the first-time homebuyer credit under IRC § 36 from June 30, 2010, to Sept. 30, 2010.
Section 36 allows a tax credit of up to $8,000 for first-time homebuyers and a credit of up to $6,500 for long-term residents of the same principle residence. Because of delays due to a number of reasons largely outside of their control, many qualifying homebuyers who entered into binding contracts on or before April 30 were unable to close on their residences by the original June 30 deadline.
Read the entire article on the Journal of Accountancy for more details.