2009 First Time Homebuyers

Guest

I am wanting to buy a house from my sister and want to make sure I can still get the first time home buyers credit. According to the irs form, it says that you can't buy from a related person and then goes on to define a realted person as a spouse, parents, grand parents or children, grand children, etc. but it doesn't say anything about siblings.

I just want to make 100% sure that I will be able to claim the tax if I buy her house. Can anyone shed some light?

gmakerley · Posted: Mon Sep 21, 2009 9:10 am Post subject:

siblings are going to be included in "etc." the Form 5405 itself states "your spouse, ancestors (parents, grandparents, etc.), or lineal descendants (children, grandchildren, etc.).

you are correct in that siblings are not noted, but etc. is a catch-all. if you want the utmost in clarity, you can contact your tax advisor or the irs directly.

Guest

Took your advice and called the IRS (on hold 20 minutes) but found out that only purchases between lineal relatives (parents, grandparents, children) and spouses make you unqualified for the credit. Purchases between lateral relatives (siblings, aunts, uncles, etc) are ok and still qualify you for the credit.

Thought I would share in case anyone else is wondering!

gmakerley · Posted: Mon Sep 21, 2009 10:40 am Post subject:

thank you for sharing. honestly, i would have not believed that to be the case.

i'm glad you had 20 minutes to spare. bon chance!

chrisburns · Posted: Mon Sep 21, 2009 3:45 pm Post subject:

wow, you learn something new every day Smile

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