Form 8828 Recapture of Federal Mortgage Subsidy

8828

Form
(Rev. March 2010)
Department of the Treasury
Internal Revenue Service (99)
Name(s)

Part I

Recapture of Federal Mortgage Subsidy
© Attach

to Form 1040.

©

OMB No. 1545-0074

Attachment
Sequence No. 64
Social security number (as shown on page 1 of your tax return)

See separate instructions.

Description of Home Subject to Federally Subsidized Debt

1

Address of property (number and street, city or town, state, and ZIP code)

2

Check the box that describes the type of federal subsidy you had on the loan for your home.
Mortgage loan from the proceeds of a tax-exempt bond
Mortgage credit certificate
Note. If neither box applies, you are not subject to recapture tax on the sale or other disposition of your home. Do not
complete this form.
Name of the bond or certificate issuer

a
b

3

State

4
5

Name and address of original lending institution
Date of closing of the original loan
. . . .

.

.

.

.

.

.

.

.

.

.

.
Month

6

Day

Year

Note. If the date of closing of the loan was before January 1, 1991, recapture tax does not apply. Do not complete this form. If
you (1) checked the box on line 2b (mortgage credit certificate), (2) refinanced your home, and (3) received a reissued
mortgage credit certificate, see Refinancing your home on page 1 of the instructions.
Date of sale or other disposition of your interest in the home . . . . . . .
Month

7

Agency, if any

Political subdivision (city, county, etc.)

Day

Year

Number of years and full months between original closing date (line 5) and date of sale or disposition (line 6):
Years

8

Full months

Date of full repayment of the original loan including a refinancing other than one for which a replacement mortgage credit
certificate was issued (see instructions) . . . . . . . . . . . . . .
Month

Day

Year

Part II Computation of Recapture Tax
9
10
11

Sales price of your interest in the home sold or disposed of (see instructions)
Expenses of sale. Include sales commissions, advertising, legal fees, etc.
.
Amount realized. Subtract line 10 from line 9 . . . . . . . . . . .

12
13

Adjusted basis of your interest in the home sold or disposed of (see instructions) . . . . .
Gain or (loss) from sale or disposition. Subtract line 12 from line 11. If a loss, stop here and
attach this form to your Form 1040. You do not owe recapture tax . . . . . . . . . .

12

14
15

Multiply line 13 by 50% (.50) . . . . . . .
Modified adjusted gross income (see instructions)

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

.
.

14
15

16

Adjusted qualifying income (see instructions) .

.

.

.

.

.

.

.

.

.

.

.

.

.

.

.

16

17

Subtract line 16 from line 15. If zero or less, stop here and attach this form to your Form 1040.
You do not owe recapture tax . . . . . . . . . . . . . . . . . . . . . .

17

18

19
20

Income percentage. If the amount on line 17 is $5,000 or more, enter “100.” Otherwise, divide
the amount on line 17 by $5,000 and enter the result as a percentage. Round to the nearest
whole percentage . . . . . . . . . . . . . . . . . . . . . . . . . .
Federally subsidized amount (see instructions)
. . . . . . . . . . . . . . . .
Holding period percentage (see instructions) . . . . . . . . . . . . . . . . .

18
19
20

21

Multiply line 19 by the percentage on line 20

22

Recapture amount. Multiply line 21 by the percentage on line 18

23

Tax. Enter the smaller of line 14 or line 22. Also, include this amount on the line for total tax on
Form 1040. For details, see the Instructions for Form 1040 . . . . . . . . . . . .

.

.

.

.

For Paperwork Reduction Act Notice, see Form 1040 instructions.

.

.

.

.

.
.
.

.
.
.

.
.
.

.
.
.

.
.
.

.
.
.

9
10
11

13

.

.

.

.

.

.

.

.

.

.

21

.

.

.

.

.

.

.

.

.

.

22

Cat. No. 13049F

%
%

23
Form

8828

(Rev. 3-2010)