Federal tax credit extended

The federal homebuyer tax credit has not lapsed for everyone.  Members members of the military serving outside the United States have an extended period to take advantage.  According to IRS regulations members of the military, serving outside the U.S. have an additional 12 months to purchase a home and qualify for the tax credit.

To be eligible you must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2011.  If that requirement is met, any military taxpayer who qualifies will have until June 30, 2011 to complete the transaction.

Members of the uniformed services, members of the Foreign Service and employees of the intelligence community are also eligible for this special rule.

This extension of the homebuyer tax benefit applies to any individual (and, if married, the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010.