The Worker, Homeownership and Business Assistance Act of 2009 has extended the tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence. The tax credit now applies to sales occurring on or after January 1, 2009 and on or before April 30, 2010. However, in cases where a binding sales contract is signed by April 30, 2010, a home purchase completed by June 30, 2010 will qualify.

FOR SALES OCCURRING AFTER NOVEMBER 6, 2009, THE ACT ESTABLISHES INCOME LIMITS OF $125,000 FOR SINGLE TAXPAYERS AND $225,000 FOR MARRIED COUPLES FILING JOINT RETURNS.

The income limits for sales occurring after January 1, 2009 and on or before November 6, 2009 remain at $75,000 for single taxpayers and $150,000 for married taxpayer filing joint returns.