News articles all over the web this past week have been illuminating a massive amount of fraud being committed in connection with the $8000 first time homebuyer tax credit that is scheduled to expire on November 30th.  I wonder how much effect this latest report by the treasury tax-oversight office will have on the intense lobbying efforts to have the tax credit extended.

According to Treasury oversight officials, in addition to those 19,000 filers, who have already received the $8000, there are an additional 74,000 tax-credit claims, valued at $500 million, where evidence of previous home ownership could make their claims invalid. 

The tax credit has no minimum age requirement, and more than 500 people under the age of 18, including a 4-year-old, had their names on applications for the credit.  Most of these claims were made by parents of the children who weren't qualified because their incomes were too high.

Johnny Isakson (R, Ga.) is leading the charge for congressional approval to extend the credit.  He is hopeful that an extension can move in the Senate next week.  "Just because someone used fraud doesn't mean the credit is a bad idea, it means there are some bad folks running around." he said.