Getting your player ready...
WASHINGTON — More than 2 million taxpayers — including some prisoners claiming students as dependents — apparently wrongly collected $3.2 billion in college tax credits last year, according to a report issued Thursday by the Treasury Department’s inspector general for taxes.
The suspect credits represent more than a fifth of the $15.5 billion in college credits the report says went to nearly 8.9 million taxpayers through 2010.
The Internal Revenue Service disputed the findings, saying they were vastly overblown and based on a faulty analysis. The IRS, though, agreed to implement many of the recommendations the report made to ensure that only eligible taxpayers receive the credit.
