How Obama could get the gop to make the tax code more progressive

[jillian]

As for the topic, if you want the elimination of the mortgage interest deduction to have a snowball's chance in hell, put Obama's imprimatur on the idea.

Fuck that. He is the absolute LAST person I want proposing this. The piss drinking tard demographic of the GOP would reflexively oppose it.

This needs to come from the Right. The elimination of tax expenditures is a conservative principle. Reagan started the process. His work has been completely undone since then. Someone with balls needs to pick up the torch and finish the job.

no one is going to do it. politicians avail themselves of the tax credit.

why do you hate middle-class homeowners?

No one is going to do it because politicians rely on the campaign cash the special interests put in their coffers for keeping all those exemptions, deductions, and credits alive.

That's why the House has a 98 percent re-election rate for incumbents who run for re-election, and over 80 percent in the Senate.

The American Politboro.

Eliminating the MID, along with all other tax expenditures, would allow for a large reduction in tax rates, and it would lower the price of homes. You have to be smoking government-sponsored crack to think that is hateful toward the middle class.

again the policy is horrible for the middle class. i'm not sure why you're pursuing this.

 

[martybegan]

Maybe. It would be political suicide normally for a dem to say end the mortgage income deduction, but Obama has no more elections to run. And, possibly even if it was capped at a $300,000 mortgage, we'd still see some benefit.

How Obama could hijack tax reform TheHill

However, as Schumer predicted in 2004 or 5, if the Dems focus on the bottom 25%, rather than the middle 50%, they will lose.

So I would lose my deduction for my state/local taxes, which since I live in NYC are pretty substantial, would be capped on my 401k deduction, and would lose out on any incentive whatsoever on buying a house.

I make $111k a year, but in NYC that hardly puts me in the 1%.

This plan can go pound sand.

The mortgage interest deduction is stupid on many levels. You are participating in your own robbery.

First, it is a highly regressive deduction. The more income you have, the bigger the mortgage you are given, which means you get a bigger deduction. And you have to be wealthy enough to afford a mortgage to begin with to be awarded the deduction.

Second, the deduction is factored into the price of housing, so houses are more expensive than they would be without the deduction. So think for a moment who are the real beneficiaries of the deduction if it drives up the cost of a house. The winners are the real estate brokers and builders. Thus, the mortgage interest deduction is a legislative wealth transference to those people, not to homeowners. You get stuck with a bigger mortgage, they get a bigger commission check.

Third, in those countries which have eliminated the mortgage interest deduction, home ownership rates were unchanged.

Fourth, every deduction is paid for out of someone else's pocket in the same way an Obamaphone is. Except the mortgage interest deduction is an annual $484 billion transfer of wealth into the pockets of real estate brokers and home builders, at the expense of higher tax rates for everyone. The Lifeline program is a drop in the bucket next to that.


And that, boys and girls, is why home builder associations and real estate broker lobbyists dump so much cash into the campaign coffers of politicians to keep the deduction alive.

You are being completely and utterly bamboozled. Anyone who supports the mortgage interest deduction is saying, "Yes, please keep stealing from me so real estate brokers and home builders can be made richer at my expense."

So that deduction of income my brother sees every year in his return is bamboozling him? The problem is that if you get rid of the deduction the government will not lower the rate to make up for it, or will only do it for a few years and raise it right back to where it was.

In NYC most houses are owned by others already, not built, so your whole "builders" argument falls flat. Finally, I doubt in this market removing the deduction would do anything to lower housing prices, it would just make it more unaffordable to more people, increasing gentrification.

But keep being pissed off at people making money, that will get you far.

 

[rightwinger]

Maybe. It would be political suicide normally for a dem to say end the mortgage income deduction, but Obama has no more elections to run. And, possibly even if it was capped at a $300,000 mortgage, we'd still see some benefit.

How Obama could hijack tax reform TheHill

However, as Schumer predicted in 2004 or 5, if the Dems focus on the bottom 25%, rather than the middle 50%, they will lose.

So I would lose my deduction for my state/local taxes, which since I live in NYC are pretty substantial, would be capped on my 401k deduction, and would lose out on any incentive whatsoever on buying a house.

I make $111k a year, but in NYC that hardly puts me in the 1%.

This plan can go pound sand.

The mortgage interest deduction is stupid on many levels. You are participating in your own robbery.

First, it is a highly regressive deduction. The more income you have, the bigger the mortgage you are given, which means you get a bigger deduction. And you have to be wealthy enough to afford a mortgage to begin with to be awarded the deduction.

Second, the deduction is factored into the price of housing, so houses are more expensive than they would be without the deduction. So think for a moment who are the real beneficiaries of the deduction if it drives up the cost of a house. The winners are the real estate brokers and builders. Thus, the mortgage interest deduction is a legislative wealth transference to those people, not to homeowners. You get stuck with a bigger mortgage, they get a bigger commission check.

Third, in those countries which have eliminated the mortgage interest deduction, home ownership rates were unchanged.

Fourth, every deduction is paid for out of someone else's pocket in the same way an Obamaphone is. Except the mortgage interest deduction is an annual $484 billion transfer of wealth into the pockets of real estate brokers and home builders, at the expense of higher tax rates for everyone. The Lifeline program is a drop in the bucket next to that.


And that, boys and girls, is why home builder associations and real estate broker lobbyists dump so much cash into the campaign coffers of politicians to keep the deduction alive.

You are being completely and utterly bamboozled. Anyone who supports the mortgage interest deduction is saying, "Yes, please keep stealing from me so real estate brokers and home builders can be made richer at my expense."

True

People figure out how much house they can afford based on the monthly payment. Writing off the interest makes them able to afford a bigger payment and the market adjusts

 

[Stephanie]

What makes me sick is how these are written up as:

how OBAMA can TRICK/ WIN something

the hell with WE THE PEOPLE

Everything has become HIM versus US