Eligible taxpayers who contracted to buy a home before the end of April, qualifying for the first-time homebuyer credit, now have until Sept. 30 to close the deal, according to the Internal Revenue Service.
The Homebuyer Assistance and Improvement Act of 2010 extended the closing deadline from June 30 to Sept. 30 for any eligible homebuyer who entered into a binding purchase contract on or before April 30 to close on the purchase of the home on or before June 30, 2010. The new law addresses concerns that many homebuyers were unable to meet the original June 30 closing deadline, a release said.
Special filing and documentation requirements apply to anyone claiming the homebuyer credit.
More details on claiming the credit can be found in the instructions to Form 5405, as well as on the First-Time Homebuyer Credit page, on IRS.gov.