Home > Home Buying > When To File For Your Frisco TX First Time Home Buyer $8,000  Tax Credit

So, the Tax Credit of $8,000 for your first time home buyer purchase in Frisco Texas have been approved. But how can you receive the credit now?

Make sure you meet these criteria first:

• Maximum credit of $8,000 (10% of purchase up to $8,000 only)
• This is a true tax credit, not a loan repayment.
• You may receive a tax refund even if you did not contribute taxes.
• Applies to principle residences only ie it must be your Texas homestead
• Must be first-time home buyers ie purchaser(s) who have not owned a principal residence in the previous 3 years.
• If purchase is made by 2 people (married to each other or not), both must not have owned principal residences in the past 3 years.
• There is an income restriction. Full credit is available for individuals with an adjusted gross income no more than $75,000 and married couples of $150,000. Phase-out for caps at $95,000 and $170,000.
• Purchases made between January 1 2009 through December 1 2009's
• Tax credit needed to be recaptured if home is sold in less than 3 years from date of purchase.
• Yes, this tax credit applies to all first time home buyers in Frisco TX and all first time home buyers in the US except for first time home buyer in District of Columbia - other rules apply here.

In order to receive your tax credit, you must file IRS Form 5405 in order to figure out your tax credit amount. As always, know that I am a Frisco TX realtor, not a tax advisor. Consult your tax advisor for the best use of this form.

Get it NOW rather than later.

If you had filed for your 2008 Income Tax, you could file an amendment to reflect your 2009 purchase in your 2008 taxes. You should receive a refund.

I have seen some first time home buyers in Frisco TX who filed for their 2008 Tax amendment, received the $8,000 tax credit in anticipation of purchasing a home before December 1 2009. I guess it works for some.

Get your IRS Form 1040X here to amend your 2008 taxes if you had already filed.

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