New Home Buyer Credit for California State (publication 3528)

New Home Buyer Credit

Same way as Federal (Form 5805), California government do support New Home Buyer Credit in current tax year.

If you receive a Certificate of Allocation from the California Franchise Tax board, then you are eligible for claiming new home buyer credit.

This credit is a non-refundable credit. And will reduce your tax amount

If you can qualify for this credit, you can claim this credit on your Form 540 or Form 540NR. You can use code "219" for new home buyer credit in the given credit code to claim this credit. [As most of the Tax software company will put automatically if you qualify.]

Government Instructions are saying as below for Home Credit.

Home Credit – For taxable years beginning on or after March 1, 2009, and before March 1, 2010, a home credit against net tax will be allowed for the purchase of a never been occupied home in an amount equal to
the lesser of five percent of the purchase price of a qualified principal residence or ten thousand dollars ($10,000).

So, The lesser of 5% of the purchase price of a qualified principal residence or $10,000. The credit is taken equally over three years.

[For more information see California FTB publication 3528]

File Your Simple California State Tax Return Free. Prepare, Print or E-File

California government supports the facility like “ReadyReturn” to prepare a simple tax return with ease of use on government website.

ReadyReturn :

ReadyReturn is a free service developed by California Government (FTB) to make filing individual income tax returns easier. It uses information the state already has from the last return you filed and from your Form W-2 to pre-fill a California state tax return.
If you are single and your income is only from wages, you may qualify for ReadyReturn. It simplifies the filing process by pre-filling a tax return with information the state already has.
 

Start ReadyReturn to prepare California Taxes

(http://ftb.ca.gov/readyReturn/index.asp)

 
To qualify, you must have filed a 2008 California resident Tax return with:

1. Single or head of household filing status.
2. Income only from wages.
3. No more than five dependents.
4. No credits other than the renter’s credit.
5. Standard deduction.

In 2009, you must have had only one employer. Taxpayers who can be claimed as a dependent on another person’s tax return qualify for ReadyReturn.

Just follow the state website link and check it out whether you are qualify for readyreturn or not.

Start ReadyReturn to prepare California Taxes

(http://ftb.ca.gov/readyReturn/index.asp)

You can directly E-file your California state tax return to government or can take a print for future purpose.

File Your California State Taxes Free, Print, Prepare and E-File using CalFile

CALFILE : A service from the California government for Tax Payer to file their tax return totally Free on California Government Website. California Government provides “CALFILE“ to help clients to prepare online Tax return on California Government Website.

Start Filing your California State Taxes Free

If you fullfil all criteria mentioned below, you can qualify to use the CALFILE To file your California state taxes. [As most of the Taxpayer do qualify to use CALFILE for their California tax return.]

1. Be a California resident for the entire year.
2. You are filing a 2009 California personal income tax return.
3. Claiming up to 10 dependents.
4. Your only income is from Wages, Salary, Tips, Interest, Dividends, Unemployment compensation, paid family leave, and tax refund reported on Form 1099-G, 1099R, Form SSA-1099 etc.
5. Your Federal Adjusted Gross Income (AGI) can be up to.

• $160,739 for single and married/registered domestic partnership (RDP) filing separately taxpayers.
• $241,113 for head of household taxpayers.
• $321,483 for married/RDP filing jointly and qualifying widow(er) taxpayers.

For more information Click here to check California government website to check whether you qualify or not.

If you Qualify, you can File your California State Taxes using CALFILE free of cost on California Government Website. Click below to Start your California state taxes.

Start Filing your California State Taxes

Find out more about CALFILE on the California state tax website.

Please suggest your valuable comments about the post.

[Links and contents are taken from the California government website.]