Military Grant Money Still Available

It has finally happened. We have passed the dealine for the $8,000/$6,500 tax credit. However, there is still time for "qualified service members" to take advantage of the program. The government has extended the tax credit to April 30, 2011 for any "member of the uniformed services of the U.S. military, a member of the Foreign Services of the U.S., or an employee of the intelligence community."

This extension is to honor and respect the sacrifice and services these individuals have provided for our country. It is also in consideration of the possibility that these individuals were stationed oversees during the tax credit and have had no opportunity to take advantage of the program.

Because of the nature of their service there has been an additional modification to the tax credit. Those who receive their $8,000/$6,500 tax credit must remain in the home they purchased for at least three years. If they move out before the three year period they will be required to repay a portion of the tax credit. This restriction does not apply to qualified service members if their early move is the result of government orded service. The income restrictions of the previous credit still apply. For more information about these financial and circumstantial restrictions see my other blog about the tax credit qualifications.

If you were able to get under contract before the deadline and will close before June 30th be sure to claim the credit on your federal income tax return. There is a specific IRS Form that will help you determine how much money you will be credited. It is important to talk with your tax advisor to ensure you submit the form correctly and get your tax credit.

Congratulations to all those who were able to get into a home with the assistance of the tax credit.

Also a very big thank you to all our service members who do so much to protect our freedoms!