FRAUD USES OF TAX CREDIT

I heard on the news this morning that there are Millions of dollars being lost in fraud for the $8,000.00 tax credit. It stated that it was found that minor children and persons that did not purchase a home at all have received the tax credit. Because these people know that the government creates programs with very little if any oversight to make sure that the program is helping to increase real estate sales. For anyone to claim the $8,000.00 in California they are require to full out a tax form and send a copy of settlement statement to verify that they purchase a home and that they have not own real estate for over 3 years before they can receive the check. So in order for people to get these funds without purchasing a home means that there are other people in this industry helping with the paperwork needed to get the money. This is why these government programs do not work because the people that really need it can’t get it due to fraud, so the program gets cancelled or runs out of money.


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