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April 3, 2022
Question

My form was rejected because 2008 first time home buyers credit, but when I go through the instructions it says I don't owe it back. How do I add the form manually?

  • April 3, 2022
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April 3, 2022

IRS Form 5405 (Repayment of the First-Time Homebuyer Credit) figures the repayment amount for the 2008 First-Time Homebuyer CreditIRS Form 5405 is also used to notify the IRS that the home was disposed of or ceased to be your main home.

 

In TurboTax Online Deluxe version, here is how to enter — or delete — IRS Form 5405:

  1. Open or continue your return.
  2. On the left menu, select Federal.
  3. On the upper menu, select Deductions & Credits.
  4. In the list below, select Show more next to Your Home.
  5. Select Start or Revisit next to Homebuyer Credit Repayment.
  6. On the Tell Us About Your Homebuyer Credit screen, answer Yes to the first question (it was still your main home on January 1, 2021).
    • To delete an unwanted 5405, answer Yes to the second question (it stopped being your main home). Then select Continue and answer Yes on the next screen. You're done.
  7. Enter the purchase date and then select Continue.
  8. Follow the instructions.
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