FBI Charges 14 in MA W/Fraudulent First Time Buyer Tax Filings

The FBI has recently charged 14 people in Massachusetts with filing false paperwork to claim the $8000 first time buyer tax credit. People have been charged in other parts of the country as well.

As part of the governments stimulus package, First Time Home Buyers could qualify for up to $8000 Tax Credit if they purchased a home and closed on or before September 30, 2010.

The IRS has been auditing all claims for the credit, sometimes asking for additional paperwork to support the claim.

Of the fourteen people in Massachusetts, seven have been indicted and can face up to 5 years in prison and up to a $250,000 fine. Investigations are ongoing and involve the IRS Criminal Investigations team, the FBI and local and state authorities.

Details of the arrests on the FBI's website.