What happens with the old $7500 tax credit from 2008?

What Happens with the $7500 tax credit from 2008?

Did you buy a qualifying home between April 9, 2008 and December 31, 2008? If you qualified under 2008's Stimulus Bill Rules than you should receive your 7,500 tax credit when you file your taxes this year.

Word was that The Obama Administration was going to make it so that the 2008 tax credit would not have to be paid back. However, that did not seem to come to fruition. As I understand, the old tax credit of $7,500 is still an interest free loan from the US Government which will need to be paid back over the next 15 years beginning with the 2010 tax season. Anyone who qualified for the tax credit and received it would pay the loan back in $500 increments when they file their taxes each year over the next 15 years. However, that pay back would be  accelerated if the hom was sold before the full loan was paid back.

As always, check with you tax preparer for information on your specific situation.