On Tuesday Feb 10th, in a 61 to 37 vote, the Senate passed their version of the Stimulus Bill that contains the $15,000 tax credit for home buyers! The next step will be a Joint Conference Committee where select members of both the House and Senate will attempt to reconcile the differences between their bills. Once that process is complete, the House and Senate will vote on the reconciled bill and send it to the President for signature into law. All indicators are that we can see this by the end of this week. Knowing the pace that Obama is already operating at, this is not impossible!
Here is the amendment straight off the sponsoring Senator's (Johnny Isakson, R-Ga.) website:
(b) LIMITATIONS.-
(1) DATE OF PURCHASE.-The credit allowed under subsection (a) shall be allowed only with respect to purchases made-
(A) after the date of the enactment of the American Recovery and Reinvestment Tax Act of 2009, and
(B) on or before the date that is 1 year after such date of enactment.
The U.S. Senate approved an amendment today to the American Recovery and Reinvestment Act of 2009 (H.R. 1) that would allow a tax credit of up to $15,000 for the purchase of a qualifying residence.
Previously the bill contained provisions for a tax credit of up to $7,500 for the purchase of a new home. The amendment increases the amount to $15,000 and includes new as well as re-sale homes.
If the bill passes both the House and Senate, and is signed into law by the President (which is expected, currently. Possibly by the end of the week) then an amount equal to 10% of a home's purchase price, not to exceed $15,000, could be applied as a tax credit.
The amendment includes the taxpayer's choice of splitting the credit equally across two years.
Only primary residences and live in the home - no investment properties qualify. SEE UPDATE #2 at top of this post. The beginning effective date is the date of enactment of the legislation.
From the initial AP teaser:
The Senate has voted to award anybody buying a home this year a tax credit worth up to $15,000 in hopes of jump-starting the sagging housing market. The homebuyer tax credit offered by GOP Sen. Johnny Isakson would apply to any home purchased as a main residence and would cost taxpayers $19 billion.
This article was originally published in category: Home Buying Tips, Santa Monica Real Estate At BestSideOfTheWestSide Titled: Senate Approves $15,000 Tax Credit for Home Buyers...HUGE News for the Real Estate Market
Comments(0)