The Treasury Department has learned that roughly 1,300 prison inmates wrongly received more than $9 million in tax credits for homebuyers as part of the Administration’s stimulus effort. These unique homebuyers included 241 inmates serving life sentences.
They are part of the over 14,000 taxpayers who wrongly walked away with almost $30 million in tax credits intended to boost the housing markets, In one case, 67 taxpayers used the same home to claim the credits.
President Obama and Congress upgraded the credit significantly to $8,000 and got rid of the requirement that it be repaid. It appears that came as a relief to the aspiring home owners in cellblocks across the country. After all, many of these cells are the ultimate fixer-uppers.