Widespread fraud has been found in the first-time homebuyer tax credit program, according to a newly released report by the Treasury Department’s inspector general.
As of September 30th, the report discloses, “the Internal Revenue Service had identified 167 suspected criminal schemes and opened nearly 107,000 examinations of potential civil violations,” The New York Times reports.
A hearing is underway on the report by the oversight subcommittee of the House Ways and Means Committee, under the chair of Rep. John Lewis, D GA (photo). A video of the hearing can be viewed on C-SPAN.
It is not clear whether the disturbing report will cool support in Congress for extending the tax credit, or strengthen those in the White House opposed to doing so on budgetary grounds.