Do you Qualify for a Home Buyer Credit? Case 2

Maruyama Realty LLC would like to share the following article by Rodney Saito, CPA:

Do you Qualify for the Home Buyer Credit?

Case 2:
Q. I am a long-time resident and current homeowner and my spouse is a first-time homebuyer (has had no ownership interest in a principal residence during the three-year period
ending on the date of purchase of a new principal residence) and we purchased a new principal residence. Can we qualify for either the first-time homebuyer credit or the long-time resident homebuyer credit if we purchase a new principal residence?

A. No. Both you and your spouse must be first-time homebuyers in order to qualify for the
first-time homebuyer tax credit. Since you had an ownership interest in a principal residence during the three-year period ending on the date of purchase, neither you nor your spouse qualifies for the credit. Similarly, both you and your spouse must be long-time homeowners of the same previous principal residence in order to qualify for the long-time resident homebuyer credit. Since your spouse is not a long-time homeowner of your current principal residence, neither of you qualify for the credit. (12/14/09)

(Disclaimer-The above cases are an excerpt from an IRS statement upgraded on
1/10/10 for general information only. Before making any decision regarding homebuyer credit,
you should consult with a qualified advisor. Rodney Saito is a Certified Public Accountant with
Freitas & Saito, LLP and he can be reached at 5640110 or at rodney.saito@fscpas.biz.)