I purchased my home in 2020 while I was still single. I received a mortgage credit certificate (MCC) through Virginia Housing with my loan, and later that year got married and then filed as “married filing jointly” for the 2020 tax year and every year since. Fast forward to 2023, I sold the home for a gain, then found out that I may owe a recapture tax since our household income increased substantially and is above the income threshold in the qualifying income table for an MCC if we count both of our incomes.
My question is, when filing form 8828, should my wife have to file this form too? Technically, she was never on the mortgage and did not directly receive the MCC as that was only in my name. If she is not required to file this form, and I am the only one who would do this, my income alone is below the threshold and would not trigger a recapture tax.
Appreciate any insight here!
original posted by iswaterwetornah to r/personalfinance on Sun, 03 Mar 2024 15:37:42 GMT.