What happens if a qualified Homebuyer cannot use the entire amount of the MCC credit?
A. If the amount of the MCC credit exceeds the MCC holder’s tax liability, reduced by any other
personal credits for the tax year, the unused portion of the credit can be carried forward to the
next three tax years or until used, whichever comes first. The homebuyer will have to keep track of
the unused credit each year. The current year credit is applied first and then the oldest amount
of unused credit applied next.

Show All Answers

1. What is an MCC?
2. What is the difference between a “tax credit” and a “tax deduction”?
3. How does the Homebuyer realize the increase in “home-buying power”?
4. What happens if a qualified Homebuyer cannot use the entire amount of the MCC credit?
5. Will a Homebuyer qualify if they are not a First-Time Homebuyer?
6. Can a Homebuyer apply for a MCC after they have closed on their mortgage?
7. What loans types can be used with the MCC?
8. Does the Mortgage Credit work like the Earned Income Credit?
9. Does a Homebuyer lose their credit if they refinance their mortgage?
10. How does the Mortgage Credit Certificate work?
11. How do you figure the tax credit the Homebuyer can receive?
12. Where does a Homebuyer obtain an MCC?
13. How long does the credit certificate last?
14. What are the MCC requirements?
15. What are income and purchase price limits?
16. What kinds of properties are eligible?
17. How does a homebuyer apply for an MCC?