Welcome Guest. Register Now!  



Reply
 
LinkBack (1) Thread Tools Search this Thread Display Modes
  1 links from elsewhere to this Post. Click to view. #1 (permalink)  
Old 11-27-2010, 07:59 PM
Junior Member
 
Join Date: Nov 2010
Posts: 1
Homebuyers tax credit & at-home business

I closed on a house in Oct 2009, qualified for and received the 1st-time homebuyers credit of $8000. Earlier this year my live-in girlfriend, who was NOT a buyer of the home, started an at-home business using my home address. The home is still my primary residence.
I recently received a letter from the IRS stating I must repay the $8000 tax credit because a business was started out the home. However, I can't find any information on my own to back this up.
Were there conditions for this tax credit regarding starting a business at home? Where can I find them, I researched but found nothing.
Can the IRS make me repay the 8 grand?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 11-27-2010, 11:16 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,236
" must repay the $8000 tax credit because a business was started out the home. However, I can't find any information on my own to back this up."--->I guess, as you converted your primary home to your live-in GF's business use,your home is not considerd to be your main home any longer before the 15-year period has elapsed.So, you must include all remaining annual installments as additional tax on your tax return of 2010.
Please visit the IRS Web site;Publication 523 (2009), Selling Your Home



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

LinkBacks (?)
LinkBack to this Thread: http://www.asktaxguru.com/5824-homebuyers-tax-credit-and-at-home-business.html
Posted By For Type Date
Twitter Trackbacks for Homebuyers tax credit & at-home business - Ask TaxGuru [asktaxguru.com] on Topsy.com This thread Pingback 11-27-2010 08:46 PM

Similar Threads
Thread Thread Starter Forum Replies Last Post
first time homebuyers tax credit kcoffeyjr Tax Credit 1 11-13-2010 04:23 AM
US Senate provides homebuyers an additional 3 months to qualify for the homebuyers tax credit!! TaxGuru Homeowner Tax 0 06-17-2010 01:22 PM
Homebuyers Tax Credit - Can I qualify Isabella1 Homeowner Tax 0 02-05-2010 09:17 PM
Changes to the First time homebuyers credit bejcunni Income 3 01-30-2009 12:28 PM
I have a home business and would like to know if I can omit depreciation on my home? JimiGood Sole-Proprietorship 1 02-17-2008 10:05 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning