New tax filing rules for people who claim home-buyer credit
If you are claiming the first-time homebuyer tax credit on your 2009 tax return, IRS says you must file a paper return, not an electronic return.
This is an attempt to crack down on some of the fraud involving first-time home-buyer tax credit claims filed thus far. The rules for the new extension have a couple of limitations. You have to be 18 years old on the date of the purchase or have purchased with an older co-buyer in order to claim the credit. Dependents cannot claim the credit. Remember the home has to be under contract by April 30, 2010, and close by June 30, 2010.
Members of the military, and federal employees working for the Foreign Service and intelligence agencies that are on duty outside the United States have been given an extra year to buy a home with the tax credit. They can qualify if they go under contract by April 30, 2011, and close the deal by June 30, 2011. Others, must complete their transactions by in 2010.