Skip to comments.Tax Deduction Under Fire for 'McMansions' [RAT wants to end Deduction if House > 3K Sq Ft]
Posted on 10/24/2008 2:20:33 PM PDT by freespirited
To add to the mortgage meltdown miseries, the credit panic, the plunging home sales and the rising foreclosures, here's a new worry: a proposed cutoff of mortgage-interest tax deductions for houses with more than 3,000 square feet.
One of Capitol Hill's most experienced and most powerful legislators is drafting a "carbon tax" bill that would do precisely that. The chairman of the House Energy and Commerce Committee, John D. Dingell (D-Mich.), expects to introduce comprehensive climate-change legislation when Congress returns next month.
Besides imposing hefty new federal taxes on gasoline, the forthcoming bill would, in Dingell's words, seek to "remove the mortgage interest deduction on McMansions -- homes over 3,000 square feet." Dingell said he recognizes that such a proposal will spark much criticism, but he also said it is essential to reducing carbon emissions by 60 percent to 80 percent by 2050.
"In order to address the issue of climate change, we must address the issue of consumption," Dingell said in talking points prepared for town-hall discussions of the legislation. "We do that by making consumption more expensive."
Houses, like autos, are contributors to greenhouse-gas emissions. This is through heating, cooling, electrical usage and building materials, plus the highways and roads needed to make far-flung subdivisions accessible to buyers. Home builders insist that they have "gone green" in recent years and that houses constructed within the past decade are the tightest, most energy-efficient in history.
Aides to Dingell said that because the legislative language on large houses and other tax proposals is still being drafted, neither they nor the congressman could elaborate on the details of the plan or why the cutoff point of 3,000 square feet was chosen.
(Excerpt) Read more at washingtonpost.com ...
Have they completely lost their minds?
Would those poor folks who were forced into subprime loans by evil bankers and whose houses exceed 3,000 feet also lose their deduction? Hmm?
Bit discriminatory against folks that live in cheaper areas, too.
Another frikken socialist crawls out of his 'rat hole.
Democrat Crime/Collectivist/Socialist Syndicate BUMP!
Socialism is out in the open and on the march.
I hope they remember some people have BIG families. Some adopt, some take in foster children, etc.
This is a very old article. But I did recently hear this being a current issue in the after election session of congress. I did a search and could not find it. Perhaps a smarter Freeper will post for us.
And so we watch as climate change becomes a “Do whatever we want” license for Big Brother. Whoever thought that the weather could contribute to the erosion of freedom.
BITS is coming. Never thought I'd see it, but I'm now sure I will.
Have they completely lost their minds?
They’ve completely gone full blown Communist. I think they’re getting brave because Obama is close to the Whitehouse.
They caused the financial mess to begin with now they want to dictate home size and confiscate 401k’s
That will really depress the housing market. Regardless of size as people cannot trust the deduction for any size house in the future or sell there existing house.
Larger house prices will drop to prices of smaller houses and compete for buyers against the smaller houses.
Dumb. Stupid. Unreal.
Also, if the government can decide that it’s 3k sq ft, who’s to say later on the govt doesn’t decide to reduce that to 2k or more?
Holy crap are these mofos against any kind of private wealth or property ownership whatsoever? Seriously. What’s with these envious pieces of sh*t?
Home stopping at 2,990 to 2,999 sq. ft. will be great.
Between this and the 401(k) murder-death-kill, I think that the Dems are overplaying their hands. As far as they are concerned, Obama has already been crowned and they are slobbering over all of the nifty socialist programs they get to shove down our throats. They can barely contain their communism, but I believe it will come back to hurt them.
So they are going to discriminate against people with large families?
I can’t fit my Catholic family in anything less, and frankly 3000sqft is not a Mansion. When all of us are home for the holidays, we walk into each other.
So the democrats are going to go after Catholics, Mormons and large families to enforce population control.
I know this little nasty tax would not apply to democrats like Charlie Rangel because he got HIS big tax break on his No-interest mortgage, which, btw, is not available to non-democrat leaders.
*tongue-in-cheek (but could make a useful, if completely inane, political jab.)
A 3 thousand square foot house is supposed to be a mansion now? WTH?
With such a law we could completely destroy the real estate market for the next 50 years. All those foreclosures will go on the market and drive down property values enough so we can bankrupt every county and city in the country. This is like a mortgage Armageddon... Go ahead and pass this... we will have a Republican majority within 2 years.
Blacks and Latinos in general own majority of small houses as they fall under lower income and they will get tax benefits.
Whites and Asians will receive no such credit as they own big houses thus giving more of their wealth to Obama.
Obama and Democrats have declared race war against Whites. Somebody needs to stand up against them.
Obama and democrats have declared war on Whites and Asians.
Unintended Consequence: some people can afford their existing home because of the tax law as it was when they signed the mortgage. Removing some of their mortgage deduction will not only decrease the amount of money available to make the payments, it will tend to boost the tax family’s tax bracket!
Yet another reason for the Fair Tax.
Wow! Giving total governmental power to the most extremist maggots in our society was a brilliant idea. The brilliance of the people living in this country never ceases to amaze me.
Tch, you’re making the assumption that this is meant to benefit the people. This is strictly the government grabbing more power while hiding behind their endless “for the common good” smokescreens.
I heard the same thing ... that's why I dug this out.
Gee. I guess the upside on this is that I can use the 1040EZ form instead.
Yeah, this would really help homeowners. Also, there’s the more practical matter of how this would even be enforced? I guess they can force lenders to identify if a home meets a certain classification when they send in the interest paid form to the IRS.
Got d@mn who are all the morons out there who want the government sodomizing them like this?
Seriously, something like this would just kill the housing market and any potential recovery, just as all of the bad mortgage paper is being worked through the market.
This election is like one big national IQ test.
China has a solution for this problem.
Many years ago-—I mean like the late 1960’s-—I was traveling in Mexico and asked why it seemed there was always a hole or some other unfinished area of a building.
A local told me that an unfinished building in Mexico was assessed lower taxes.
Now we are importing Mexican tax laws into the USA!!!!
Who woulda thunk!!!!
Most congressmen have more than one house. One in the district and one in DC (even if its rented, it still poses another carbon footprint). Betcha they stop short of combining square footage to protect themselves.
These LibTard DhimmiRats aren’t going to be satisfied until they foment armed insurrection in the streets. That’s something they would never weather, something they could never actually survive. But, still they continue with their agenda of condemn and control.
It may well be time that the tree of liberty be refreshed...
I hate to use the f-word, but the only phrase that comes to mind is “f**king idiot.”
Why do I swear more when listening to liberals?
How about we eliminate your seat, and save the planet?
Is that the one that only has two lines:
1. How much income did you have this year? _____
2. Send it in. _______
No. They are simply acting the way communists do. The question is whether the majority of Americans have lost their minds.
Schizoid...I admit most of the McMansions are awful and running a lot of nice neighborhoods but Congress should but out.
The mortgage interest tax deduction currently is limited to interest paid on the first $1 million in acquisition debt.
To limit it still further by square footage is a Dem public relations ploy, and targets bigger families.
“Gotta keep that damn middle-class under control! Can’t let ‘em get all uppity and what-not.” /sarc
The Breck Girl will have to move!
We really need a limit of 2 terms per lifetime. these guys stay in for half a lifetime and turn despotic or queer and we have to suffer them.
Al Gore is so screwed.
“cutoff of mortgage-interest tax deductions for houses with more than 3,000 square feet. “
Wouldn’t that mean that Gore and Edwards would loose deductions? Or are they exempt because they are part of the elite?
Well, time to go dynamite away a couple of rooms off of the house!!! Got to keep that mortgage tax deduction!!!
(Just kidding — our house is less than half that 3,000 sq. ft., but Dingell claims this is to reduce “carbon emissions???” Whaaaatttt??????)
As to this point I have seen NO STRONG push to eliminate withholding and the IRS. With out BOTH as preliminaries to the “fair tax” we will end up with both.
So are all those calling for fair tax out protesting JUST the with holding and IRS? NO? Getting the fair tax will NOT make the IRS go away.
End withholding FIRST and you will have my vote. Without ending both FIRST it is just another SCAM to get our money.
As evil as the IRS and withholding are, it means only one tax. IRS + no end to IRS and withholding = all in place and taxing us.
Face facts and past performance of our government. Use your head about this.
Just in the past week we have the Obama Democratsd wanting to kill off ALL tax breaks for 401(k) accounts, for deposits and capital gains, and now they want to kill off housing tax breaks.
This is what the Obama/Pelosi administration wants to do: Tax & Spend.
“Well, time to go dynamite away a couple of rooms off of DINGELL’s house!!!
Stupid effort anyways. If you can afford a large home then AMT kills the mortgage deduction.
No, they would force real estate appraisers to certify the size of every home they appraise and send in forms to the government. They will leave banks out of it as they did with the savings and loan scandals.
Banks are big money contributors to the politicians.
If they’re going to do this, would it be a lot simpler to limit the amount of interest to be deducted to some max amount?
That wouldn’t require people to measure their homes, and the IRS to worry about the size. Nor would it create bizarre anomalies at the threshold.