No more tax deduct for homeowners!!!

[Daytona100]

A bill is currently before congress on removeing the tax credit for homeowners. This should slow down the Houseing boom and possibly put some folks into financial hardship when it passes. Leave it to our government to screw us. Guess we have to find a way to pay back all these BILLIONS of dollars we keep spending and giving away. :hammerhea

[Daytona100]

You will no longer be able to write off your mortgage interest or only a small percentage.

[Daytona100]

We dont get to vote on it.

[76ANTHONY]

i hope that goes nowhere..............

[X-driver]

I read that they want to limit the deduction for people who own houses over $350K (I believe that was the number).......not for us working folks!

[framer1]

I really doubt the bill will pass.
I agree,it's political suicide :yuk:

[soupersonic]

I heard somewhere that if they did this for one year we could pay the war or hurricane katrina. I would do it once for that kind of help

[jstwkd]

I read that they want to limit the deduction for people who own houses over $350K (I believe that was the number).......not for us working folks!
Well the average house in california for the workin class is 500,000 +
This will suck for me at least!

[OGShocker]

This is all I could find... Stop panicing.... (http://thomas.loc.gov/cgi-bin/query/F?r109:8:./temp/~r109KjCwaL:e4130:)

[deltarat]

350 thousand wont even buy a small condo were I live, and actully I think that is about a 30 persent down payment on a house in most of our neighborhoods. As far as a 1 time deal to pay for Katrina or the war, hell no!!! I do believe in the cause for Katrina and I wont get into the whole war debate but if our goverment does it once for lets say Katrina, next year they will do it for another storm, and so we go into a state of paying every year for stuff and it becomes perminent. :mad: :mad:

[SummitKarl]

This is all I could find... Stop panicing.... (http://thomas.loc.gov/cgi-bin/query/F?r109:8:./temp/~r109KjCwaL:e4130:)
wow sounds great to the wage earner W-2 income
you get a larger standard deduction and the M.I. deduction stays in place.
what more could you ask for :D besides a Flat Tax across the board
The addition of a Corp Flat tax. IMHO is a start down the right path to fair and equal taxes for all.
This ain't affecting the housing market one bit, infact it will only make it stronger, by giving the middle class (just about all of us) a bigger return.

[PHX ATC]

I thought it was November 1st, not April 1st. :)

[Havasu_Dreamin]

Here is what CNN Money says about the panels proposals. (http://money.cnn.com/2005/11/01/pf/taxes/tax_proposals/index.htm?cnn=yes)

[Outnumbered]

I heard somewhere that if they did this for one year we could pay the war or hurricane katrina. I would do it once for that kind of help
Typical liberal trash you must be listening too. The Dems think that if you raise taxes (or take away deductions) that they will generate more revenue. The part they are not telling you is that the volume of the tax producing activity will be so severely hampered that it will actually reduce tax revenue.
With their philosophy, why not raise sales tax nationwide by 25% for one year? You think you would still buy that new $100k boat or $50k truck :idea:? So you think that taking away tax deductions on RE would produce more revenue and pay for Katrina? What a joke. It would absolutely kill the economy. Not only would the RE market slow to a halt but the trickle-down effect would cut tax revenue across the board since a lot of RE, mortgage, construction peeps would not be making the big $$ and can no longer afford to buy those toys, take those vacations, or pay their employees a good wage.
The liberal media will be sure to preach tax cut gloom and doom but the truth is that Congress and GW's tax cuts have actually produced MORE tax revenue (now if they would just quit spending it all).
So, don't panic, the deduction will never go away completely. It may be scaled back, but no administration or Congress is foolish enough to take it away completely. It would be suicidal.

[6 Dollar Boat]

Wouldn't we all be better off without the 60,000 pages of the current income tax code...
There is a bill that will be voted on in April to replace our current personal income, business income, capital gains, inheritance, and social security taxes with one simple national sales tax. It is called "The Fair Tax Bill" or H.R.25, and you can read about it HERE (http://www.fairtax.org/), or in the book "The Fair Tax Book" by Congressman John Linder of Georgia...

[Jyruiz]

I am all for a flat tax accross the board.

[NorCal Gameshow]

Wouldn't we all be better off without the 60,000 pages of the current income tax code...
what are "cons" of a flat tax?

[6 Dollar Boat]

what are "cons" of a flat tax?
H.R. 25 "The Fair Tax Bill" is not a flat tax. It is a national sales tax that would do away with the IRS (no more tax returns).
It would also tax all the people who don't pay into the current system, such as drug dealers,hookers, contractors, strippers, and tourists... :D

[NorCal Gameshow]

H.R. 25 "The Fair Tax Bill" is not a flat tax. It is a national sales tax that would do away with the IRS (no more tax returns).
It would also tax all the people who don't pay into the current system, such as drug dealers,hookers, contractors, strippers, and tourists... :D
yeah, the flat tax is tied to income.
I doubt the sales tax will pass 'cause they'll arque it will slow consumer spending and tank the economy. at least that's the likely argument you'll hear against it...

[Daytona100]

First they change the Bankruptsy laws and now this. Some people expect to get healthy tax refunds from there mortgage interest to pay or catch up on there outstanding bills. Looks like it might turn into a buyers market in a few years.

[YeLLowBoaT]

Wouldn't we all be better off without the 60,000 pages of the current income tax code...
There is a bill that will be voted on in April to replace our current personal income, business income, capital gains, inheritance, and social security taxes with one simple national sales tax. It is called "The Fair Tax Bill" or H.R.25, and you can read about it HERE (http://www.fairtax.org/), or in the book "The Fair Tax Book" by Congressman John Linder of Georgia...
I personally think that would be a very big mistake to pass that bill. A big part of the reason why we have 60k+ pages of tax law is to prevent ppl from cheating on them.(other reason as well)

[YeLLowBoaT]

you wouldn't be a "Amercain Idependent" would you?

[6 Dollar Boat]

Some people expect to get healthy tax refunds from there mortgage interest to pay or catch up on there outstanding bills.
These people with the large returns don't know how to manage their money very well, if they rely on a tax refund to pay bills. Why not just set your exemptions so you will break even, then you have the take home pay to pay the bills during the year...

[Badger301]

I read that they want to limit the deduction for people who own houses over $350K (I believe that was the number).......not for us working folks!
I would think that would be the majority of people here in Cali....I cant find a house for less.

[HocusPocus]

These people with the large returns don't know how to manage their money very well, if they rely on a tax refund to pay bills. Why not just set your exemptions so you will break even, then you have the take home pay to pay the bills during the year...
i could never understand the thought process for wanting a big tax refund. to me its always been more important to break even.. or pay a little.

[Outnumbered]

i could never understand the thought process for wanting a big tax refund. to me its always been more important to break even.. or pay a little.
Yep, with good planning and a good CPA you should break even or pay a little at the end. Not smart to have Uncle Sam holding your money all year--not a very good investment.

[ROZ]

Why not just set your exemptions so you will break even, then you have the take home pay to pay the bills during the year...
Calculating earned income and deductions to taxes owed is part of the game in breaking even... Like it when I've done a good job and owe or get back very little at the end of the year :)

[Boatcop]

We dont get to vote on it.
You already voted on it. By voting for your Representatives and Senators.
That's how it works in a Democratic Republic.

[Havasu_Dreamin]

First they change the Bankruptsy laws and now this. Some people expect to get healthy tax refunds from there mortgage interest to pay or catch up on there outstanding bills. Looks like it might turn into a buyers market in a few years.
IMHO, people should not be living their daily lives counting a big tax return. Why does anyone want to basically loan the government money over the 12 months and then get it back WITH NO INTEREST!?!?!?!?!?! It's illogical!

[572Daytona]

If this passes it will actually result in a reduction of local tax revenue in the long run as there will be less luxury homes built and purchased so the money collected for property taxes will go down. Not to mention the economic impact to the "working folks" who rely on the building/remodeling and maintenance of these luxury homes for their livelyhood.

[Outnumbered]

If this passes it will actually result in a reduction of local tax revenue in the long run as there will be less luxury homes built and purchased so the money collected for property taxes will go down. Not to mention the economic impact to the "working folks" who rely on the building/remodeling and maintenance of these luxury homes for their livelyhood.
Is there an echo in here :D
l
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[Outnumbered]

>>>>>>>>>>>>>>>>>>>>>>><<<<<<<<<<<<<<<<<<<<
Typical liberal trash you must be listening too. The Dems think that if you raise taxes (or take away deductions) that they will generate more revenue. The part they are not telling you is that the volume of the tax producing activity will be so severely hampered that it will actually reduce tax revenue.
With their philosophy, why not raise sales tax nationwide by 25% for one year? You think you would still buy that new $100k boat or $50k truck :idea:? So you think that taking away tax deductions on RE would produce more revenue and pay for Katrina? What a joke. It would absolutely kill the economy. Not only would the RE market slow to a halt but the trickle-down effect would cut tax revenue across the board since a lot of RE, mortgage, construction peeps would not be making the big $$ and can no longer afford to buy those toys, take those vacations, or pay their employees a good wage.
The liberal media will be sure to preach tax cut gloom and doom but the truth is that Congress and GW's tax cuts have actually produced MORE tax revenue (now if they would just quit spending it all).
So, don't panic, the deduction will never go away completely. It may be scaled back, but no administration or Congress is foolish enough to take it away completely. It would be suicidal.

[PHX ATC]

What'd you say? :rollside:

[ROZ]

What'd you say? :rollside:
He said is there hecho here :D

[OGShocker]

You already voted on it. By voting for your Representatives and Senators.
That's how it works in a Democratic Republic.
Civics 101 is down the hall and to your left! :D

[deltarat]

Here it is right off of MSN News
Drawing particular criticism, the panel determined that tax breaks for homeownership be changed to spread their benefits to more middle-income families.
The panel would convert the home mortgage interest deduction into a credit equal to 15 percent of mortgage interest paid. The $1 million limit on mortgages eligible for the tax break would shrink to the average regional price of housing, ranging from $227,000 to $412,000.
Link to whole article http://www.msnbc.msn.com/id/9883726/
This is bullshit!!!

[totenhosen]

The $1 million limit on mortgages eligible for the tax break would shrink to the average regional price of housing, ranging from $227,000 to $412,000.
That would hurt alot of people in So-Cal. They also made no mention of excluding HELOC or second/investment home mortgage interest.

[ROZ]

That would hurt alot of people in So-Cal. They also made no mention of excluding HELOC or second/investment home mortgage interest.
That reads the average regional price... What it doesn't say is which region it represents...
It also reads this at the end of the article:
"They also would eliminate federal deductions and credits for mortgage interest, state and local taxes and education, among others."
What's next, removing the dependent deduction? :220v:

[CA Stu]

You already voted on it. By voting for your Representatives and Senators.
That's how it works in a Democratic Republic.
I thought we lived in a representative democracy?
I want my money back!
Thanks
CA Stu

[bigq]

I thought we lived in a representative democracy?
I want my money back!
Thanks
CA Stu
Kidding right?
This is the dumbest idea I have heard in a while. I heard some lib today say it only affects about 30% of the people anyway...so LAME!

[CA Stu]

Just in case no one noticed, taxes are more than a way to create revenue, they are primarily a tool for social engineering.
The government wants you to invest in your own home? Tax break.
The government wants you to save for retirement? Tax break (for IRA contributions).
The government wants to strengthen the US auto industry and teh oil industry? Tax break (for purchases of a commercial vehicle over 6000 lbs.).
I reckon that the govenrment wants to save people from themselves and put a damper on the speculative casino-like market that real estate investing has morphed into over the last 6 years or so, hence the threat of removal of the home loan interest deduction (in certain situations( i.e. second homes, HELOCs, and the high end mortgage market)).
Thanks
CA Stu

[Outnumbered]

Just in case no one noticed, taxes are more than a way to create revenue, they are primarily a tool for social engineering.
The government wants you to invest in your own home? Tax break.
The government wants you to save for retirement? Tax break (for IRA contributions).
The government wants to strengthen the US auto industry and teh oil industry? Tax break (for purchases of a commercial vehicle over 6000 lbs.).
I reckon that the govenrment wants to save people from themselves and put a damper on the speculative casino-like market that real estate investing has morphed into over the last 6 years or so, hence the threat of removal of the home loan interest deduction (in certain situations( i.e. second homes, HELOCs, and the high end mortgage market)).
Thanks
CA Stu
That (last paragraph) is an interesting perspective. I never really though of it that way. So typical of the libs to try to be our mom and dad. We can't take care of ourselves :rolleyes: Bush really F'd up by placing Dems on this panel too. They would never do it for us Republicans . He's gotta strap on some balls and quit trying to please the Dems. Fock-em. This one may backfire in a big way.

[OGShocker]

Here is the Panels website... (http://www.taxreformpanel.gov/)

[welk2party]

I really think this is some kind of set up to get them fired up over something to soften the blow for another agenda that might pale in comparison. Look in this hand....oh, that is ugly, we can't have that....well in this hand we have this...well that is much better, we should do that instead!
Something along those lines is what it looks to me. IMHO :idea:

[Rock-A-Bye-Baby]

It doesn't make a whole lot of sense to upset the single largest component that has sustained our economy over the last few years. By taking away some of the benefits of homeownership, you take away the incentives for owning a home and we will see a collapse in the real estate market. High income people will lose one of the biggest tax breaks they have and they will be really screwed.
Personally I don't think it will pass.