Of all the deductions woven into the sprawling U.S. tax code, few have been more fiercely guarded than the enormous tax break that lets homeowners deduct the interest they pay on their mortgages. But as Congress and the White House negotiate the first major rewrite of tax laws in decades, changing the generations-old mortgage-interest deduction — which costs the government roughly $100 billion a year — has gone from far-off possibility to part of the conversation. The outcome of that debate could have profound long-term effects on homeowners across the country — and particularly those in the Washington area
Now that interest rates are so low, is this really that much of a deduction for people (I don´t have a mortgage, so I really don´t know).
It seems that this will result in double taxation... the interest income will be taxed for the lender, and the borrower will be paying the interest with after-tax income.
In any case, this is regressive tax since wealthy people will simply liquidate some weak investments and pay off their mortgage.
Reply 8 - Posted by:
Grant Hodges, 11/29/2012 1:01:20 AM (No. 9038719)
Correct, no. 7. This is an attack on the middle class and poor people, just like hiking energy prices. The rich skate past this, but the poor are crushed, and the middle class hobbled. In Stinky´s view, they deserve it.
The GOP will lose any attempt at a compromise. Better to accept either Clinton rates for all. The Clinton rates and the Sequester are the current default. Force the Dems to clearly spell out and sell any alternative plans.
That "costs the government" line jumped right out at me, too. WE are the government. WE own this country. Washington does not own us and our money. Unless we let them, of course, like slightly more than half of the people voted to do. I think the Obama voters believe all of that "government money" is really meant for them.
Is it really Brady Dennis´s fault that he is an incredibly ignorant journalist? The poor clueless fool "thinks" the interest deduction "costs" government. It does not cost government a single penny. It is not the government´s money. It is not his fault, he´s your average libtard, living in DC.
So, you think your house is hard to sell now? Just wait until they take away the mortgage deduction. Combine that with the new 3.79% Obamacare sales tax on real estate, and you might as well take out a 100 year mortgage, ´cuz you ain´t selling it. The Japanese created the 100 year mortgage in response to the high price of real estate. We may do the same thing because of the low prices.
A depression, if not already here, is on the way. Brace for impact.
Reply 13 - Posted by:
Country Boy, 11/29/2012 3:39:12 AM (No. 9038778)
Yes, brace for impact.
And the mortgage interest deduction is definitely a regressive tax, hits middle class hard. But that is where we are. More taxes on the wealthy is really a myth now. There is a max on all taxes beyond which no revenue comes in. We are probably there with taxes on the wealthy.
Middle class will be getting hit hard soon. No way around it. And that is really one of obama´s secret goals. If you think the Kenyan hates rich Americans like Romney, just wait. He hates us in the middle class even more.
Adjusting the tax rate based upon income is not only the basest in discrimination, but also punishes those that produce.
More business owners should have prior to the election announced to its employees that if BO was re-elected, that there would be such and such lay offs or firings and health care would no longer be paid for by the employer.
The powerball jackpot shows how you really raise money. Get a little bit of money from a whole lot of people.Getting a few more bucks from 2% of the population is chickenfeed.
The rich thing is left wing populism not a solution.Rich people have already paid taxes on their wealth,,you can´t go back and re-claw money so they´ll still have their wealth.There´s CEOs who don´t even take a salary but have lavish expense accounts that are write downs for their business.
I recommend we take the dive off the fiscal cliff. This is the only way to get the mandatory domestic spending cuts. Once off the cliff the House (because that is where all budget matters must originate) pass a permanent tax relief bill reinstating the Bush Tax rates. Let Obama and the Democrats vote against middle class tax relief, good for 2014. Then, pass a second bill to relieve the military of 1/2 the mandatory budget cuts. Let Obama and the Democrats vote against supporting our military during a time of war. Another winning issue for 2014. I sure hope someone in the GOP Leadership reads Lucianne. This is a no brainer...the only way we the people will get the domestic spending cuts.
It may not fully make up for President Obama’s gutting of America’s manned spaceflight program, but for now it will have to do. Star Trek’s Galileo, the fiberglass shuttlecraft featured on the “The Galileo Seven” episode of the classic ’60s sci-fi series, was officially unveiled Wednesday at Space Center Houston, the official museum/visitor center of NASA´s Johnson Space Center, where it will remain on permanent display. If nothing else, the Galileo development program proved far less costly than NASA’s $9 billion next-generation space program, Constellation, which fell victim to Mr. Obama’s budget ax in 2010.
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Two New York Times reporters recently posited for President Obama this grim scenario: Low growth, high unemployment, and growing income inequality become "the new normal" in the nation he leads. "Do you worry," the journalists asked him, "that that could end up being your legacy simply because of the obstruction ... and the gridlock that doesn´t seem to end?" Obama´s reply was telling. "I think if I´m arguing for entirely different policies and Congress ends up pursuing policies that I think don´t make sense and we get a bad result," he said, "it´s hard to argue that´d be my legacy.
A military court Tuesday convicted Army Pfc. Bradley Manning of violating the Espionage Act for leaking hundreds of thousands of classified documents to WikiLeaks, a verdict that legal analysts say likely will have a chilling effect on others considering revealing government secrets. While Manning, 25, was acquitted of the most serious charge — aiding the enemy, which carried a penalty of life in prison without the possibility of parole — he still faces up to 136 years in prison when he is sentenced at Fort George G. Meade, Md. The sentencing hearing, which starts Wednesday
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Via Hot Air and Byron York, Barack Obama has crossed the constitutional Rubicon. The die is cast. He realizes as much, and is daring Congress to stop him in the pixels of the New York Times. NYT: People questioned your legal and constitutional authority to do that unilaterally — to delay the employer mandate. Did you consult with your lawyer? MR. OBAMA: Jackie, if you heard me on stage today, what I said was that I will seize any opportunity I can find to work with Congress to strengthen the middle class, improve their prospects, improve their security
Conservative bloggers went wild Monday when they got wind of the Congressional Black Caucus’ suggestion that President Obama pick Rep. Sheila Jackson Lee of Houston for the post of Secretary of the Department of Homeland Security. Rich Cooper, avid blogger for Security Debrief, responded to the news of the Jackson Lee recommendation in a post by saying, “Apparently, it is not a joke. For reasons that baffle any sense of reality, it is a serious gesture on the part of the Congressional Black Caucus (CBC) to encourage President Obama to nominate Rep. Jackson Lee
Mark Levin, who hosts one of America´s top radio talk shows and is considered by supporters to be the people´s pundit on the Constitution, is rallying his 8.5 million-strong audience to demand an historic convention of state governments to halt the "oppressive power" of the federal government. The author of two New York Times bestsellers on the threats to the Constitution, Levin hopes his latest, "The Liberty Amendments," out mid-August, will spark the state lawmakers to tap a rarely used Constitutional provision to institute measures that would brake President Obama´s use of executive orders, bar thousand-page laws and
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FORNEY, Texas - George Zimmerman, the former Florida neighborhood watch leader cleared of all charges in the shooting death of Trayvon Martin, was pulled over for speeding in North Texas on Sunday, CBS DFW reports. According to the station, Zimmerman was armed when officers pulled him over on Highway 80 in Forney, east of Dallas. (Snip) The officer reportedly did not recognize Zimmerman, who was driving a Honda pickup. Zimmerman told the officer he was armed and was then told to put the weapon in his glove compartment, according to the station.
Arizona Sen. John McCain was the Republican Party´s 2008 presidential nominee and he still wants the keys to the Oval Office. But he is beginning to sound more like a fan of likely 2016 Democratic presidential candidate Hillary Clinton. "She´s a rock star," he said in a newly released interview. "She has, maybe not glamour, but certainly the aura of someone widely regarded throughout the world," he added in a reference to her work as secretary of State. McCain, reportedly trying to win back his reputation as a GOP maverick, was asked by the New Republic
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Embattled Internal Revenue Service official Lois Lerner and an attorney in the Federal Election Commission’s general counsel’s office appear to have twice colluded to influence the record before the FEC’s vote in the case of a conservative non-profit organization, according to e-mails unearthed by the House Ways and Means Committee and obtained exclusively by National Review Online. The correspondence suggests the discrimination of conservative groups extended beyond the IRS and into the FEC, where an attorney from the agency’s enforcement division in at least one case sought and received tax information about the status of a conservative group,
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