Obama Panel Eyes killing Mortgage Tax Breaks

[nonlnear]

No, that specific post was addressing Spidey's claim that there is any difference between a deduction and a handout (assuming you pay taxes in the first place).

I do think that the type and number of deductions has gotten out of hand (yes, even ones I benefit from). The mortgage interest deduction is one I think aught to go. I do like nonlnear's proposal though, being a good liberal, I think that a principal repayment deduction should be tied to income or house price so we aren't paying people to buy ostentatious McMansions.

I didn't bother mentioning that there ought to be some sort of cap to the amount somebody could reduce their liability by principal repayment. I have a nasty habit of putting in too many qualifying and subordinate clauses, which destroys the flow of a post. It's bad for the initial presentation of an idea, hence the oversimplification. I was hoping that more intelligent readers would see the need for a cap on the annual tax reduction as obvious. Thanks for pointing it out for those that might have missed that one last piece of the puzzle.

I imagine a lifetime total principal cap (of say $1 million-ish), and an annual cap set at a total annual principal reduction determined by about 125% of median home price in the highest priced markets in the country, amortized over 15 years. That way even people in high markets would have an incentive to pay homes down at a much faster rate than now (especially those that are amortizing over longer periods), but Donald Trump couldn't shelter $40 million in one year by buying a five floor penthouse in cash.

 

[spidey07]

You have a base federal income tax bill, say $1000.

Scenario one: You get a $50 deduction (net value) for whatever rationale. So you pay the gov $950 instead of $1000. You're out $950.

Scenario two: The deduction in scenario one doesn't exist but the gov will send you $50 to subsidize the same behavior the deduction was designed to promote in scenario one. So you send the gov $1000 and the gov sends you a check for $50. You're still out $950.

The only difference between the scenarios is the paperwork involved.

/facepalm

There is a HUGE difference. It's my damn money to begin with in one and it's a handout in the other. You've proven you believe it's the government's money to begin with. You've removed any doubt, you're a leftwing moonbat, you think it's the government's money do dole out to the peasants.

 

[IronWing]

/facepalm

There is a HUGE difference.

Then show the difference.

 

[spidey07]

Then show the difference.

It's impossible explain the difference to a liberal. In your example of 50 buck check from the government it's the same in your mind. This is liberal mentality at it's core, you can't wrap your mind around the fact that it's MY MONEY to begin with.

Where did that 50 buck check come from? The government. Which means it came from somebody else as opposed to me keeping MY OWN DAMN MONEY that I worked for. HUGE difference.

Liberals will never understand this.

 

[IronWing]

It's impossible explain the difference to a liberal. In your example of 50 buck check from the government it's the same in your mind. This is liberal mentality at it's core, you can't wrap your mind around the fact that it's MY MONEY to begin with.

Where did that 50 buck check come from? The government. Which means it came from somebody else as opposed to me keeping MY OWN DAMN MONEY that I worked for. HUGE difference.

Liberals will never understand this.

In either case you get $50 for behaving in a manner the gov finds appealing.

 

[spidey07]

In either case you get $50 for behaving in a manner the gov finds appealing.

No. One way I get to keep my own money that I earned and worked for. The other I stole from the people. HUGE difference. Liberals will never understand it.

 

[IronWing]

No. One way I get to keep my own money that I earned and worked for. The other I stole from the people. HUGE difference. Liberals will never understand it.

Hmmm. So when you pay cash for something at a store do you always provide the exact amount of cash for your purchase or do you accept change from the cashier? By your logic, any money you get back in change is really stolen from other customers who paid before you as you're accepting their HARD EARNED MONEY in change.

 

[her209]

Its your money unless you earned it via a collective bargaining agreement and/or are a public employee until which time you don't deserve it.

 

[Hacp]

Lower all income taxes, period. Don't just lower it for people who buy homes. Cut income taxes in half every year. same with spending.

 

[IronWing]

Lower all income taxes, period. Don't just lower it for people who buy homes. Cut income taxes in half every year. same with spending.

The Hacp Plan
Year One: All federal agencies gone including Defense
Year Two: Medicare and Social Security gone
Year Three: US defaults on existing debt

Sounds like we have a well thought out plan here. My time frame probably a bit longer than it would actually take to get to sovereign default under the Hacp Plan.