First-time Homebuyer Tax Credit
FEATURE	H.R.  3221 Housing and Economic Recovery Act of 2008
Amount of Credit	Ten percent of cost of home, not to exceed $7,500
Eligible Property	Any single-family residence (including Condos) that will be used as a principle residence
Refundable	Yes. Reduces income tax liability for the year of purchase. Claimed on tax return for that tax year
Income Limit	Yes. Full amount of credit available for Individuals with adjusted gross income of no more than $75,000 ($150,000 on a joint return)
Definition of a  First-time Homebuyer	Purchaser (and purchaser's spouse) may not have owned a principal residentce in 3 years previous to purchase
Recapture	Portiion (6.67% of credit) to be repaid each year for 15 years.  If home is sold before 15 years, then remainder of tax credit outstanding would be due and payable
Effective Date	Home Purchases on or after April 9, 2008
End Date	July 1, 2009
Interaction with Alternative Minimum Tax	Can be used against AMT, so credit will not throw individual into AMT.
Tax Credit vs Tax   Deduction	A tax credit lowers your tax bill dollar for dollar. A deduction shaves money off your taxable income, so the value depends on your tax bracket. For example:  If you're in the 25% bracket, a $1,000 deduction lowers your tax bill by $250. But a $1,000 tax credit lowers the bill by the full $1,000, no matter in which bracket you are in
Information deemed reliable but not guaranteed