By compelling millions of Americans to abandon upside down homes out of protest by depriving them of faith in the economic future of the nation?
Ah, I get it, I have to think like a G*D* socialist, which is to say, not at all.
1. Flat Tax all forms of income at 5%.
2. Enforce the Tax code, especially on those making over 1 million a year who try to evade taxes by sending their money offshore.
3. Make any future loopholes illegal without a freeking constitutional amendment.
At 5% it won’t be worth anyone’s time to try to cheat on their taxes. Plus you could make the penalty for tax fraud being a fine of 10X the amount you cheated taxes. (That way the IRS has reason to hit up the tax cheats at the high end of the bracket and if someone ont he low end mis paid their taxes by a few buck it isn’t going to bankrupt them).
If you are going to tax all forms of income the rate must be low (at the most 5%), if it is too high you end up changing the behavior on investments etc... so that people will try to “legally evade” their taxes by using something not covered in tax code.
If the government cannot live on 5% of the GDP they are too damned big to begin with.
Let’s really screw the Government and just start living in our vehicles......oh wait, then they will raise the vehicle tag tax, CRAP!
If I can't deduct the interest, then I must pay higher tax that then never circulates in the economy. Not to mention that the price of the house was artificially inflated by having the deduction to begin with, so now I'm hosed twice.
Talk about kicking the housing market when its down though... this does however further the Leftist goal of sticking 95% of the population into government tenement projects.
The little "left as possible" democrat is a first-time home buyer, and received, quote, unquote, $8,000 from Obama.
Hahaha!! Pretty please?????
No amount of taxation will “save the economy” when Obastard proposes budges that are nearly 100% more than the estimated revenue and when government handouts comprise WAY over half the budget.
Elimination of the housing mortgage deduction would be the straw that finally sent the U.S. plunging into a full blown depression, as it would shatter the fragile market for housing by making housing purchases that much more unaffordable, thereby triggering a new death spiral of foreclosed and repossessed housing as even more folks are forced out of, or are forced to walk away from, homes that are now even more underwater relative to their mortgages.
The government is once again taking the wrong approach. Remember Comprehensive Immigrtion Reform, they were going to secure the border and grant amnesty to millions of illegal aliens (mostly net users of tax dollars) instead of securing the border (first).
Now they want more taxes instead of cutting spending. The idiots and commies are in charge of the govt on both sides of the aisle. What happened to the GOP promise to cut spending? Short after election memory loss.
1. Secure the boder
2. Take away all benefits to illegals
3. Cut spending
4. Cut perks and salaries for Congress and their staffs.
5. No pensions for Congressmen, it should be an honor to represent the people not a job.
"Eliminate a tax break" is government-speak for "raise taxes." Tax increases do not increase government revenue on anywhere near a one-to-one ratio, nor are revenues so raised returned to the taxpayer by a government already running in default. They are, on the contrary, relegated to servicing the existing debt and to new spending.
"Tax breaks" are not a gift from the government, nor are they subsidies, they are merely the government declining to take as much money as its adherents have decided for one reason or another that they are entitled to.
If they want to eliminate this deduction, fine, let them "pay for it" by reducing property taxes by a commensurate amount. That minimizes the damage to taxpayer and to market. It will not be done that way because the real object in all this is for neither of those; rather it is for the government to get its hands on a fresh bundle of cash, taken from an already strapped public. Which will be returned...sometime...later...they promise.
Are we going to eliminate the deduction for business losses, gambling, etc.?
How is ending a tax credit a new tax cut? How does giving 2 trillion dollars more to the gov't "save the economy"?
Win The Future?
the flat tax would do the same.
These commies don’t deserve an extra nickel in revenue. Better to starve the beast; at least the private sector will have something left.
Screw the mortgage interest deduction, it’s just a big giveaway to the mortgage industry and Freddie and Fannie.
If you want to help the home buyers, make the principle deductible.
These utter morons will twist and turn and writhe like serpents, but will consider EVERYTHING except curbing their out-of-control spending!
Here’s a thought: why not just demand all Americans simply sign over their entire paychecks to the government and then go find an empty packing crate in which to live.
These knotheads STILL don’t get it.
They seem to labor under some notion that if only taxes can be raised to some previous level of confiscatory nirvana, everything will be OK.
It’s over, folks. The corpse has been long ago raped and gutted. They’ve moved on to greener pastures, if you haven’t noticed, leaving the rubes holding the bag.
The US can’t grow its’ way out of this, the US can’t tax its’ way out of this, etc. For all that, the notions of taking money from one to give to another is only theft, but everyone seems to think that’s fine, as long as congress votes on it.
Whatever.
Doubt it would make a nickels worth of difference.
If Congress taxes more, they will just spend twice as more!!
In wanting to remove this subsidy, this administration's primary interest is NOT increased tax revenues. Instead, their aim is to eliminate the incentive to own one's home. And, thus, force people into government-funded housing and apartments in the cities.
This is all about the socialization and forced urbanization of America.