If you claimed the First-Time Homebuyer Credit in a previous year and need to include a repayment amount on your current year return, use the following steps to enter the necessary information in TaxACT: 

  1. From within your TaxACT return (Online or Desktop), click on the Federal Q&A tab
  2. Click Other Credits to expand the category and then click First-time homebuyer credit and repayment of the credit
  3. Select Go to the interview for the repayment of the homebuyer credit, then click Continue
  4. The program will proceed with the interview questions for you to enter or review the appropriate information

If you already filed your return without this information and need to include it on an amended return, follow the steps above and then see Amending Your Federal Return for further instructions.

Additional Information

The credit is not available for homes purchased in 2014. If you have claimed the credit in any year, you can access your account information using the IRS Look-up Tool. This will provide you with your total credit amount, repayment amount, and other information. See the IRS First-Time Homebuyer Credit overview for more information, including repayment triggers.

TaxACT will automatically determine whether Form 5405 needs to be filed for your situation. If you are repaying the credit on your 2014 tax return, you are only required to file Form 5405 if:

  • You disposed of your home or you ceased using the home as your main home in 2014, or
  • You are repaying the credit because you purchased your home in 2009 or 2010, the home was destroyed or you sold it through condemnation or under threat of condemnation in 2010, and you did not purchase a new home within 2 years of the event.

In all other cases, you are not required to file Form 5405. Instead, enter the repayment on Form 1040, line 59b. For example, you are not required to file Form 5405 if you are making an installation payment of the credit you claimed on a home you purchased in 2008 and you owned it and used it as your main home during all of 2014. See the IRS Instructions for Form 5405 for more information.



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