Form 5405 - Repayment Needs to Be Removed on Return
1

If your return is reflecting a repayment of the First-Time Homebuyer Credit in error (i.e. due to being imported from a prior year return or having previously been entered in error), you can remove that from your return.

To remove the credit repayment:

  1. From within your TaxAct return (Online or Desktop), click Federal (on smaller devices, click in the top left corner of your screen, then click Federal).
  2. Click the Taxes dropdown, then click Repayment of first-time homebuyer credit.
  3. On the screen titled Repayment of First-Time Homebuyer Credit, click Worksheet.
  4. On the screen titled First-Time Homebuyer Credit Repayment Worksheet, click Edit to open the form already created.
  5. On the screen titled Homebuyer Credit Repayment - Information, enter a zero (0) in both fields on this screen.
  6. On the screen titled Homebuyer Credit Repayment - Minimum, clear the payment amount or leave it blank.