- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Under Trump Tax Proposal Mortgage Interest Deduction is Preserved
Posted on 10/1/17 at 9:35 am
Posted on 10/1/17 at 9:35 am
quote:
To provide simplicity and fairness the framework eliminates many itemized deductions that are primarily used by the wealthy, but retains tax incentives for home mortgage interest and charitable contributions, as well as tax incentives for work, higher education, and retirement security.
LINK
So with mortgage deductions off the table, the media needs a new narrative. In the MSM's new narrative, middle class families in high tax states might have to pay more. This is because state taxes will not be deductible.
Obviously those high tax states are more likely left-leaning states.
Their governments are also the most likely to swear dedication to a proposition of "taxing the rich" while protecting the middle class. Now they are warning their middle class citizens to oppose the new proposal because it could drive their taxes up.
However . . .
Middle Class citizens in blue states would not need be concerned at all IF THEIR STATES WERE NOT ALREADY TAXING the snot out of them.
That is the dirty little secret.
If ever there were an example of soak the rich schemes being exposed as actual middle class taxes, this is it.
9
Posted on 10/1/17 at 9:49 am to NC_Tigah
It's a hair over 5% in LA. Not being able to deduct that screws me and taxes those dollars twice.
Posted on 10/1/17 at 10:00 am to NC_Tigah
quote:
This is because state taxes will not be deductible.
This is a good trade off for people who are retired in states where you don't pay state income taxes like here in Ark. I was a little on edge about the larger deduct for children as opposed to households without children but for states that collect state taxes on retirees this is a plus for them even though it will not benefit me here in Ark.
Posted on 10/1/17 at 10:36 am to Jake88
quote:Even with the 0% line elevated to $24K?
It's a hair over 5% in LA. Not being able to deduct that screws me and taxes those dollars twice.
Posted on 10/1/17 at 10:48 am to NC_Tigah
One positive thing about losing the local tax deduction is that it might curtail tax hikes in the states.
I say lose the mortgage interest deduction and lower rates further too. I shouldn't have to pay more taxes than the other guy because I paid off my house.
I say lose the mortgage interest deduction and lower rates further too. I shouldn't have to pay more taxes than the other guy because I paid off my house.
Posted on 10/1/17 at 11:57 am to NC_Tigah
The fact the mortgage interest deduction is off the table shows the incredible power of the realtor lobby.
Posted on 10/1/17 at 12:10 pm to NC_Tigah
quote:
Even with the 0% line elevated to $24K?
Where is it now? But, I suspect it'll still raise my taxes.
Posted on 10/1/17 at 12:16 pm to LSUFanHouston
quote:
The fact the mortgage interest deduction is off the table shows the incredible power of the realtor lobby.
Real estate is a huge component of the GDP. Can't get to 3% with RE dragging it down.
Posted on 10/1/17 at 12:43 pm to Bullethead88
quote:
Real estate is a huge component of the GDP. Can't get to 3% with RE dragging it down.
But it's not real growth. Interest rate deduction distorts housing prices.
Posted on 10/1/17 at 12:45 pm to NC_Tigah
Thx.
Posted on 10/1/17 at 12:55 pm to NC_Tigah
quote:
Middle Class citizens in blue states would not need be concerned at all IF THEIR STATES WERE NOT ALREADY TAXING the snot out of them. That is the dirty little secret.
true, in fact it's their property tax and state income tax deductions that force us to "fix" the AMT every year.
by simply eliminating those deductions you've eliminated the AMT.
property taxes on my house in chicagoland where 12k per year.
This post was edited on 10/1/17 at 1:04 pm
Posted on 10/1/17 at 1:09 pm to LSUFanHouston
quote:
But it's not real growth. Interest rate deduction distorts housing prices.
Yes, it does. But it's a constant distortion. If they suddenly cut the deduction, real estate prices will decline, and new housing starts will fall, and the GDP will take a hit.
Posted on 10/1/17 at 1:23 pm to LSUFanHouston
Do you know anybody that bought their primary home to get the tax deduction on the interest they pay?
It just is not that important like in was in 1980 when interest rates were 14% and tax rates were like 70%.
Get rid of it and lower the overall rates further.
It just is not that important like in was in 1980 when interest rates were 14% and tax rates were like 70%.
Get rid of it and lower the overall rates further.
Posted on 10/1/17 at 1:35 pm to NC_Tigah
I still don't get the rationale behind the mortgage interest deduction. Why are you penalized for having less debt by renting and/or paying off house in cash? Why should we incentivize debt?
Posted on 10/1/17 at 5:15 pm to NC_Tigah
The student loan interest deduction is a joke already, so I want to see employers be able to pay off any amount of loans as “tax free income”.
Everybody should be able to get behind this. It allows those graduating to have their loans “forgiven”, but forgiven by merit and not a handout. These graduates will in turn have a whole lot more money to spend on housing and other goods. It’s a win win.
Everybody should be able to get behind this. It allows those graduating to have their loans “forgiven”, but forgiven by merit and not a handout. These graduates will in turn have a whole lot more money to spend on housing and other goods. It’s a win win.
Posted on 10/1/17 at 5:18 pm to I B Freeman
quote:
Do you know anybody that bought their primary home to get the tax deduction on the interest they pay? It just is not that important like in was in 1980 when interest rates were 14% and tax rates were like 70%. Get rid of it and lower the overall rates further
Totally agree, but I think the fear is the National association of realtors would campaign hard against this. It’s a big selling point to their uneducated buyers. Sad, but true.
Posted on 10/1/17 at 5:21 pm to NC_Tigah
So the common logical argument behind repealing the death/estate tax is that it's double taxation, which I agree with. So now under this proposal, double taxation at the state and federal is acceptable?
Bunch of BS.
Bunch of BS.
Posted on 10/3/17 at 11:40 pm to LSUFanHouston
quote:
But it's not real growth. Interest rate deduction distorts housing prices.
For sure, just like accellerated depreciation in the 70's + 80's was not real growth
But if they take away interest, prices will come down and housing starts starts will fall - and the GNP will take a hit for probably 2 or 3 quarters.
Can't have that when you are selling the big tax cut that big time increases the deficit, because you claim the resultant GNP growth (3%) will make up the deficits caused by the tax cuts.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News