The IRS is mailing letters to homeowners who claimed the First-Time Hombuyer Credit. The IRS is notifying the homebuyer that unless the home remains the primary residence of the homebuyer for at least 3 years after it is purchased, the homebuyer/taxpayer will have to repay the entire credit.
Examples of situations when a home is no longer considered a primary residence include . . .
- The home was converted for rental or business use
- The home was repossessed or abandoned
- The home was sold
- The home becomes a “second” home and is not used as the taxpayer’s primary residence.
Further information can be found by visiting www.gov/cp03b.
