Bill Text: WV HB2122 | 2018 | Regular Session | Introduced
Bill Title: Providing a tax credit for first time home buyers
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-01-10 - To House Finance [HB2122 Detail]
Download: West_Virginia-2018-HB2122-Introduced.html
WEST virginia Legislature
2017 regular session
By
[
to the Committee on Finance.
A BILL to amend the Code
of West Virginia, 1931, as amended, by adding thereto a new section, designated
§11-21-23a, relating to providing a tax credit for first time home buyers;
establishing eligibility criteria; and setting a maximum credit.
Be it enacted by the
Legislature of West Virginia:
That the Code of West
Virginia, 1931, as amended, be amended by adding thereto a new section,
designated §11-21-23a, to
read as follows:
ARTICLE 21. PERSONAL INCOME TAX.
§11-21-23a. Credit for first time home buyers; criteria.
(a) For the tax years
beginning on or after January 1, 2018, a first time home buyer of a principal
residence is allowed a refundable credit against the taxes imposed by this
article equal to the amount of ten percent of the purchase price of a principal
residence, up to a maximum credit of $5,000 and subject to the conditions set
forth in this section.
(b) The credit permitted
by this section applies to a principal residence purchased by a taxpayer on or
after April 9, 2018, and before May 1, 2022.
However, the credit is also available if the taxpayer enters into a
written binding contract before May 1, 2022, and closes on the purchase before
July 1, 2022.
(c) A first time home
buyer is, for the purposes of this section, an individual who has not had an
ownership interest in a principal residence for the five years preceding the
purchase of a residence for which he or she seeks this credit.
(d) Married taxpayers
who are first time home buyers who file separate returns are eligible for a
maximum tax credit of $2,500.
(e) If two or more
individuals who are not married purchase a principal residence, the amount of
the credit allowed under subsection (a) of this section shall be allocated
among those individuals on a pro rata basis, not to exceed the $5,000 limit.
(f) No credit is allowed
under subsection (a) of this section for a residence whose purchase price
exceeds $800,000.
NOTE: The purpose of this bill is
to provide a tax credit for first time home buyers. The bill establishes
eligibility criteria and sets a maximum credit of $5,000.
Strike-throughs indicate language
that would be stricken from a heading or the present law and underscoring
indicates new language that would be added.