A new tax credit for first time home buyer's - Yea! Yippee! Everyone one is very excited and doing cartwheels to showcase their enthusiasm.
But....
Am I the only one that is wondering what in the world was going on in the minds of the legislative and judicial branches of our government who wrote and passed this? This "Tax Credit" is not really a tax credit. A "Tax Credit" is defined as a direct reduction in tax liability. This is not a reduction in liability, but rather a delay in liability. Can you imagine if the parents in America who get tax credits for each kid had to start paying that back to the government when the kid turned 18 years old.
This new wonderful plan is more like a loan because one has to pay it back (without interest) over a 15 year time span. Yet it is not a "loan." A loan is something you get before the purchase in order to make the purchase. The first time home buyer will not get the money credited to him until after he/she makes the purchase.
So....
It's not a tax credit! It's not a loan!
WHAT IN THE WORLD IS THIS?
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