November 25, 2009 | Diane Johnson | Leave a comment More than 314,000 taxpayers inaccurately claimed the college tax credit. That means $532 million went to individuals that weren't entitled to receive the tax credit. So money that helps pay college expenses is going to what the government considers "unqualified individuals." The Hope Tax Credit helps pay expenses for the first two years of college and provides up to $1,650 a year. Taxpayers claimed the credit for the same student for three consecutive years instead of two years. Auditors reviewed two separate three-year periods between 2006 and 2007. They also concluded that about 58,000 claimed the credit for a fourth consecutive year in 2007. The Internal Revenue Service (IRS) found innacurate forms in both the past and present which made the IRS realize that they need better tools to detect and fix inaccurate claims. But the problem should temporarily ease since Congress expanded the credit to four years of college for those claiming it in both 2009 and 2010. Taxpayers rely on the college tax credit to help them pay for the ever increasing cost of higher education. This tax credit helps many students and families afford the costs of college. And the limits temporarily increased as a part of the stimulus that Congress passed. Currently, the report wants Congress to authorize the IRS to fix tax returns which incorrectly claimed the credit. They also want better reporting requirements that will help the IRS match expenses claimed by students with reports from schools. IRS workers have such a heavy responsibility and they are not able to keep up with the demands placed on them. Well to be quite honest I hope they don't implement more measures. The IRS is a burden although they do make sure that everyone pays their taxes except for members of the Obama administration. Who just happened to forget to pay their taxes for several years. Quite convenient it seems. Anyways, the IRS thinks they need more help in order to try and avoid more errors in the future. This will be a pain because taxes will be even more difficult to keep track of but on the other hand if the IRS ends up auditing you and you find out that you owe more in taxes it would be better to pay upfront then find out two years later that you owe even more money. Incorrect taxes are a pain for both the IRS and you, but especially you if you find out later and you don't have enough money to pay them. Taxes are necessary because they support our programs, government, infrastructure, and basically everything in the U.S. However, no American likes paying them. By looking at our history this is not a new thing. Starting with the Boston Tea Party and the American Revolution and continuing through today it's easy to understand whyAmericans hate taxes and pay one of the lowest rates in the developed world. But the fact is they are a pain and hopefully these families won't end up owing the government for their incorrect filings involving the college tax credit.