Originally Posted by
chuck416
Why, pray tell, should 'home-renters' subsidize the lifestyles of 'uber-rich home owners' by allowing tax deductions of home mortgage interest payments? I'd be careful about where you want to give the IRS guys a hatchet approach to revenue. You (we) may not like what they carve out. There are a few things that the government actually does pretty well. Our ATC system has it's fraud/abuse issues, but user fees is not the answer.
Respectfully,
Chuck,
The Simpson-Bowles commission recommended doing away with the mortgage interest deduction. Believe it or not I'd be okay with that, provided other loopholes/tax breaks were similarly closed, tax rates in general were lowered
and everyone paid income taxes, even if at a low rate. Everyone needs to have some "skin in the game".
By the way, renters don't directly pay property taxes, yet those renters with children go to the local schools. Aren't the "uber rich homeowners" subsidizing those children's education?
BTW, the home mortgage interest deduction is not absolute. The deduction phases out at higher income levels, providing a greater tax benefit to lower- and moderate-income earners.