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HQAdvisor
New Member

First time home buyer credit repayment if home is sold

IND-147 - The e-File database indicates a First Time Homebuyer Installment Payment is due for the Primary SSN. Include amount on 'FirstTimeHmByrRepaymentAmt' of the return and attach Form 5405 if required.


But when i chose the option

Yes, but the home i received the credit for stopped being my main home on or before December 31, 2016

It deletes the Form 5405 and puts my repayment amount at 0. So another freaking glitch that is preventing me from filing taxes TurboTax.

When will you fix this Bug?

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6 Replies

First time home buyer credit repayment if home is sold

At the moment, some taxpayers attempting to complete Form 5405 may experience issues.  We are working on a solution.  Please “click here” and sign up to receive email notifications when any updates related to this issue become available.

If you bought a home in 2008 and received the First-Time Homebuyer Credit, and you sell the home within the next 15 years, any remaining credit is repaid in the year of sale.  Repayment is limited to the gain, or profit, from the sale 

raimee123
New Member

First time home buyer credit repayment if home is sold

THIS IS RIDICULOUS.... ALWAYS SOMETHING WITH THE FIRST TIME HOME BUYER---- NOT HAPPY CUSTOMER!  STILL WAITING FOR FIX AND CAN'T FILE WITH ANYONE ELSE AS IRS HAS ALREADY RECEIVED (REJECTED)
23451
New Member

First time home buyer credit repayment if home is sold

We are also having this issue and the software deleted our 5405 form as well. We did the home sale worksheet in 2018 and paid the payment on the credit as usual. Now for 2019 it will not allow me to choose "Yes, but the home we received the credit for stopped being our main home on or before December 31, 2018" it keeps changing it back to "No, we never got this credit" which is why the IRS REJECTED our return. I have paid my fling fees but am unable to get this issue resolved as the software is not allowing me to make changes necessary to file. 

I hope someone can help me figure this out quickly. 

KarenJ2
Expert Alumni

First time home buyer credit repayment if home is sold

If you still lived in your home on January 1, 2019 and you received the homebuyer credit in 2008, then you should click that choice on the first screen in the homebuyer credit section and complete the following screens to repay the 2019 credit amount on your 2019 tax return.

 

If you stopped living in your home in 2018, then you should amend your 2018 return to repay the balance of the credit due on your 2018 amended return.  If you home stopped being your main home before the end of 2018, then the credit repayment is due the year the home ceases to be your main home.

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ewbeyer
New Member

First time home buyer credit repayment if home is sold

This is still an issue this year.  I am having to mail in my return now because TurboTax hasn't fixed this problem.  Very frustrating.

First time home buyer credit repayment if home is sold


@ewbeyer wrote:

This is still an issue this year.  I am having to mail in my return now because TurboTax hasn't fixed this problem.  Very frustrating.


It never was a Turbotax problem.  If you moved out of the home where you got the credit before January 1, 2020, then you were supposed to make a full repayment on form 5405 in the year you moved out of the home.  You don't owe and should not make a payment on your 2020 tax return.  You have to go back and file an amended return for the year you moved out of the home.  

 

Or, if you did file form 5405 and make your proper repayment, and the IRS says you still owe a current repayment, then their database is wrong and you need to contact the Taxpayer Advocate to fix it.

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