By Jay Heflin - 03/18/10 09:54 PM EDT
Rep. Eliot Engel (D-N.Y.) introduced legislation eliminating the so called "marriage penalty" from the Home Buyer Tax Credit.
Under current law, an $8,000 tax credit is available to first-time home buyers when purchasing a principal residence. A tax credit up to $6,500 is available for repeat home buyers who have owned a home for 5 consecutive years out of the prior 8 years.
Both spouses must have the same ownership history to claim the first-time credit. Engel's bill removes this requirement and allows married couples filing joint returns to qualify for the credit even if one is ineligible for the credit.
The National Association of Exclusive Buyer Agents supports the bill.