When my Home Mortgage Interest Deduction is gone

Self | 11-9-2012 | Doghead

[Cboldt]

-- Over twenty years ago, I had someone tell me the US Tax Code is a textbook example of our government engaging in social engineering. --

I don't think anybody in the government is trying to hide that. The Congress has engineered us into the current fiscal situation. This is Congress's baby. Power to coin money and regulate the value thereof, to tax, and to spend. All Congressional powers.

The power has been used to transfer wealth from makers to takers, for, oh, a good 80 years - accelerated under Johnson, and enabled by the Mandarin class that manages to obtain elected office in the federal government.

[rstrahan]

My interest payments on my note are so low that when I itemize, the standard deduction is higher. Concerned about the loss of the mortgage interest deduction? Add to the principle payment and pay the sucker off in less time.

I am in real estate, but I firmly oppose the mortgage interest deduction. It only subsidizes homes in high-priced areas by my tax dollars. Why should I subsidize your house payment?

[Cboldt]

-- I firmly oppose the mortgage interest deduction. It only subsidizes homes in high-priced areas by my tax dollars. --

At bottom, it subsidizes the lenders by getting them more business. There being a tax advantage to being in debt. It also encourages "over-consumption," living large today on tomorrow's income. I think, besides the banks, the primary lobbying group for subsidy of home loans is the building industry, with all of its associated suppliers.

Most of the rent-seekers (in the tax realm) are identifiable by the conditions for obtaining the tax advantage.

[expat2]

Their EITC payments won’t stop — bernanke will just print some more money.

[what's up]

If you are not wealthy and you have only one residence, it’s likely that you will still be able to use the deduction.

[dangerdoc]

“Why should I subsidize your house payment?”

My paying less taxes does not mean that you are subsidizing my house payment. I also notice that you specifically mention high priced areas, that sounds way too much like the 1% BS being thrown around.

[makersmk2013]

Was there any mention of removing the ITIN system for the illegals?You know,the ones that were bragging about claiming 20 dependents!That is a big scam in Florida,Texas,California,and even South Carolina.IIRC the dollar amount from 2010 was around $4 BIL.and rising every year!That would save more money than most tax hikes or loopholes than they have discussed to date!

[nascarnation]

Here is the actual info on that tax - it only applies to gains and at a pretty high level:

http://www.realtor.org/topics/health-care-reform/top-10-things-you-need-to-know-about-the-38-tax

[CodeToad]

“Why should I subsidize your house payment?”

Spoken like a true liberal. You are not subsidizing anything, you just emotionally reacted like a liberal and made the ridiculous claim.

[Road Glide]

“When they eliminate the home mortgage Interest deduction (Schedule A, Line 10) then for me, my taxes rise $2,395.”

Back in 1990, my yearly mortgage interest was $9,871 (on an old, small, 2-story house). And that was in “1990 dollars”, which would be more today.

You’ve got it relatively easy.

Just putting things into perspective here.

[Fightin Whitey]

You are exactly right.

The only reason European socialism has lingered so long is that the entire world economy has been carried by U.S. ingenuity and productivity.

Take away the engine of commerce and the whole train stops dead on the tracks.