Johnson, Agen, Kupferschmidt & Associates

Tax Tips

December 2008

First-Time Home Buyer Tax Credit
We covered this topic in our October Tax Topics, but it's worthy of a
reminder: First-time home buyers purchasing any kind of home (new
or resale) are eligible for a tax credit of as much as $7,500. Time is of
the essence for buyers who want to take advantage of this outstanding
opportunity. Only homes purchased on or after April 9, 2008 and before
July 1, 2009 are eligible. The law defines 'first-time home buyer' as a buyer
who has not owned a principal residence during the three-year period prior
to the purchase.

Home improvement tax credits
Even though energy efficient home improvements made during 2008
are not eligible for a tax credit, it is important for you to be aware of the
Emergency Economic Stabilization Act which will extend tax credits for
energy efficient home improvements for 2009. This is important for your
home-improvement planning purposes and records.

Enrolled Agents

EAs (Enrolled Agents) are the only tax professionals tested by IRS on their knowledge
of tax law and regulations and are licensed by the U.S. Department of the Treasury to
represent taxpayers before all administrative levels of the IRS.