Claiming the $8,000 first time home buyer tax credit is fairly simple and straightforward. You simply must take the appropriate steps on your 2009 federal income tax return. Eligible home buyers must fill out IRS form 5405 which will indicate how much of the credit can be claimed. Then, you simply enter that amount on line 69 of IRS form 1040. That’s it!
Although there are no other applications or steps to claiming the first-time home buyer tax credit, you simply want to make sure that you qualify. If you do not qualify for the first time home buyer tax credit and claim it anyway, an audit could result in being required to repay the tax credit and other penalties.
First Time Home Buyer Resources