First-time homebuyer fraud
We have been answering lots of questions about the first-time homebuyer credit at Consuming Interests. Many buyers legitimately qualify for the $8,000 credit. Some, not so much.
Putting an infant’s name on the deed of a house when parents otherwise won’t qualify, for example, or simply refinancing a mortgage doesn’t entitle a homeowner to taxpayer money.
The IRS has seen an uptick in fraudulent claims, according to the New York Times. And this fraud could put an extension of the credit in jeopardy.
Comments
I purchased a new home in April, just afer the April 15th deadline, so I had already filed my taxes. I asked my accountant to do an amended return and he took a long time, not getting it to me until Septembr and I sent it to the IRS.
The amended return had my new address as well as the First-Time Home Buyer Credit form with my new address. My original taxes had my old address.
Where did they send my $8,000 tax refund check last week?
You guessed it, my OLD address. Thankfully that was my folks house and they gave me the check.
But if the IRS is doing this to everyone, then they are encouraging people to fradulantly claim they purchased a property when they didn't, becuase the check is even being mailed to their old house! Not to mention that some people may now never see their money!
Posted by: Richard | October 22, 2009 1:56 PM