I would like to make a payment on my First Time Homebuyer Credit, but I no longer own the house the credit was for. How do I pay my installment?

Forum|Forum|7 years ago
June 4, 2019
2 replies
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TurboTax Deluxe Online

Critter

Level 15

What year did you get rid of the home ? That was the tax year you should have reported the disposal and settled up with IRS on the form 5405.

Opus 17

Level 15

If you stopped living in the home in a previous year, you were required to file form 5405 in that year to report that you sold or moved out of the home. Depending on the circumstances, you either owned immediate full repayment, or a partial repayment, or no repayment, in that year. That discharges the credit and you owe nothing in any future year.

(*There is a special circumstance if your home was condemned or destroyed and you bought a replacement. Reply with more details if that is what happened.)

For 2016 tax return you don't owe repayment. Don't make one, but you may need to print and mail your return since you may be blocked from e-filing.

Then go back and file an amended return for the year that you sold the home or moved out, and calculate the amount of repayment you owe.

Depending on what year you moved out, you may also be able to file amended returns to get back other un-owed payments. For example, if you moved out or sold the home in 2013, then you owed no payment on your 2014 and 2015 tax return either, so you can amend those years to get your un-owed payment back. If you are filing more than one amended return, mail them in separate envelopes.