﻿Form 8859
Carryforward of the District of Columbia First-Time Homebuyer Credit

2025

Cat. No. 35062K

Form 8859

Carryforward of the District of Columbia First-Time Homebuyer Credit

Department of the Treasury
Internal Revenue Service

Attach to Form 1040, 1040-SR, or 1040-NR.

Go to www.irs.gov/Form8859 for the latest information.

OMB No. 1545-0074
2025
Attachment Sequence No. 106

For Paperwork Reduction Act Notice, see your tax return instructions.

Name(s) shown on return ----
Your social security number ----

1 Credit carryforward from 2024. Enter the amount from line 4 of your 2024 Form 8859 ----
2 Limitation based on tax liability. Enter the amount from the Tax Liability Limit Worksheet in the instructions below ----
3 Current year credit. Enter the smaller of line 1 or line 2 here. Include this amount on Schedule 3 (Form 1040), line 6h. See your tax return instructions ----
4 Credit carryforward to 2026. Subtract line 3 from line 1 ----

General Instructions

Purpose of Form

Use Form 8859 to claim a carryforward of the District of Columbia first-time homebuyer credit from 2024.

Caution: You may claim only a carryforward of any unused credit (which is shown on your prior year Form 8859, line 4).

The original credit amount was the smaller of:

• $5,000 ($2,500 if married filing separately), or
• The purchase price of the home.

The credit was phased out when your modified adjusted gross income (AGI) was greater than $70,000 ($110,000 if married filing jointly). No credit was allowed if your modified AGI was greater than or equal to $90,000 ($130,000 if married filing jointly).

Specific Instructions

Line 2

Complete the following worksheet to determine the amount to enter on line 2 of Form 8859.

Tax Liability Limit Worksheet—Line 2

1. Enter the tax liability before the  application of credits from your 2025 income tax return (Form 1040, 1040-SR, or 1040-NR, line 18) ----
2. Enter the total of the following credit(s)/adjustment(s) if you are taking the credit(s)/adjustment(s) on your 2025 income tax return.

• Amount on Schedule 3 (Form 1040), line 6l.
• Foreign tax credit, Schedule 3 (Form 1040), line 1.
• Credit for child and dependent care expenses, Schedule 3 (Form 1040), line 2.
• Credit for the elderly or the disabled, Schedule 3 (Form 1040), line 6d.
• Nonrefundable education credits, Schedule 3 (Form 1040), line 3.
• Retirement savings contributions credit, Schedule 3 (Form 1040), line 4.
• Energy efficient home improvement credit, Schedule 3 (Form 1040), line 5b.
• Credit for previously owned clean vehicles, Schedule 3 (Form 1040), line 6m.
• Clean vehicle credit, Schedule 3 (Form 1040), line 6f.
• Child tax credit or credit for other dependents, Form 1040, 1040-SR, or 1040-NR, line 19.*
* Include the amount from line 14 of Credit Limit Worksheet B in the Instructions for Schedule 8812 (Form 1040) instead of the amount from Form 1040, 1040-SR, or 1040-NR, line 19, if the Instructions for Schedule 8812 (Form 1040) direct you to complete Credit Limit Worksheet B.
• Mortgage interest credit, Schedule 3 (Form 1040), line 6g.
• Adoption credit, Schedule 3 (Form 1040), line 6c.

Note: Enter the total of the preceding credit(s)/adjustment(s) only if allowed and taken on your 2025 income tax return. Not all credits/adjustments are available for all years nor for all filers. See the instructions for your 2025 income tax return ----

3. Subtract line 2 from line 1. Enter this  amount on Form 8859, line 2. If zero or  less, enter -0- here and on Form 8859, lines 2 and 3 ----

Line 4

You can carry forward any unused credit shown on line 4 until you have used all of it. You cannot carry the unused credit back to prior years.

End of Document