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Senate approves $15,000 tax credit for homebuyers...

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Posted

If it's like last years it's not really a credit, more like a 0% loan. Which, is still not bad if you took that money and invested it somehow to paid off debt, but if you just take it to buy crap it's about worthless.

How is that? Looks like a straight up tax credit to me.

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Posted

npr buyer tax credit

Isakson said the new tax break for homebuyers was intended to help revive the housing industry, which has virtually collapsed in the wake of a credit crisis that began last fall.

The proposal would allow a tax credit of 10 percent of the value of new or existing residences, up to a $15,000 limit. Current law provides for a $7,500 tax break but only for first-time homebuyers.

Isakson's office said the proposal would cost the government an estimated $19 billion.

The provision was the second tax cut approved in as many days targeted to individual industries. On Tuesday, the Senate voted to give a break to consumers who buy new cars.

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Posted

How is that? Looks like a straight up tax credit to me.

They give you $7500, I'm guessing to help people with down payment and closing costs. In return, you owe the government $500 more in taxes every year for 15 years to pay it back. I guess it's basically taken out of your return.

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