* In Effect from July 26, 2009 to July 26, 2010. The new home must close during this period.
* Purchasers of New Homes during that period will receive up to $5,000 non-refundable tax credit (non-refundable means that the credit will go against a tax liability to the state).
* The new home buyer must live in the home for at least two years or pay back the tax credit to the state.
* There is a total program cap of $25 million. The tax credit program is over when that cap is reached or July 26, 2010 whichever comes first.
* Purchasers are defined as anyone other than first time home buyers.
* The new home must be the home owner’s principal residence. A new home is defined as either detached or attached and never been occupied.
* Within seven calendar days after the purchase of a qualified principal residence, the qualified buyer shall submit via fax a completed application for the new home tax credit on forms provided by the Kentucky Department of Revenue.
* The Revenue Department will create a web site to explain the credit to the public and to keep track of the amount of the program cap dollars remaining.
For more information please visit http://revenue.ky.gov/dyq.htm