Federal inspectors scouring tax returns that contain a credit for first-time homebuyers have found something curious about claims from Texas.
Nearly 1,000 were filed by people employing a special taxpayer identification number primarily used by illegal immigrants, who are not entitled to the credit.
The Texas filings represented nearly one-third of the 3,200 suspicious homebuyer credit claims submitted by noncitizens around the country. The value of the credits from all the noncitizen claims was $20.8 million, a U.S. Treasury Department inspector general said.
Texas’ total was almost double that of similar suspicious filings from California, a state estimated to have nearly twice as many illegal residents.
Russell George, the Treasury inspector general for tax administration, declined to offer his assessment on the disproportionate number of suspicious homebuyer credit claims from Texas discovered by his investigators.