Posted on 03/28/2014 7:03:46 AM PDT by SeekAndFind
You don’t actually “own” the thing until you finish paying for it. So you think it’s a good thing to encourage someone to take on a large debt just because they can deduct the interest on the loan, even if they can’t really afford the loan in the first place?
take away HER ability to buy clothes. do you know what WE paid for just 1 dress? Haven’t found the article on the mutts staff, plane, care etc. Sure it is high. Private plane just for their mutts. GWB took his dogs on with him, not on a special plane.
Mooch’s $12 K dress WE paid for.
http://townhall.com/tipsheet/katiepavlich/2014/02/14/the-irony-of-michelle-obamas-10000-dress-n1795008
Keeping Track: Obamas’ Vacations, Take 2… or 20!
http://clashdaily.com/2014/03/keeping-track-obamas-vacations-take-2-20/#K4xUZiWkiVX7YzgY.01
U.S. Gov’t Study Pays Mexican Male Prostitutes For Not Getting STDs - See more at: http://cnsnews.com/news/article/eric-scheiner/us-govt-study-pays-mexican-male-prostitutes-not-getting-stds#sthash.5CgoGk8w.dpuf
http://cnsnews.com/news/article/eric-scheiner/us-govt-study-pays-mexican-male-prostitutes-not-getting-stds
MORE WASTEFUL SPENDING!
http://www.cnsnews.com/news/article/eric-scheiner/govt-spending-48m-tell-students-get-fruved $4.8 MILLION to tell Students to ‘Get Fruved’
Medicare And Medicaid Fraud Is Costing Taxpayers Billions
http://www.forbes.com/sites/merrillmatthews/2012/05/31/medicare-and-medicaid-fraud-is-costing-taxpayers-billions/
Report: 125,000 illegals in California qualified to be covered by Medicaid
http://americanthinker.com/blog/2014/02/report_125000_illegals_in_california_qualified_to_be_covered_by_medicaid.html
Obamas’ Cost of Living in the White House: $1.4 Billion a Year
http://townhall.com/tipsheet/katiepavlich/2013/03/11/obamas-cost-of-living-in-the-white-house-14-billion-a-year-n1530802
That’s not even the tip of the iceberg of our money that the government squanders.
Agreed—though some taxing is inevitable.
And the end of withholding is a good start: I was a Democrat before starting my own company ay age 35.
Politicians would love to simplify the tax code - temporarily. Then they could restart the process of sucking donations out of those wanting their special deductions.
The majority of most Republicans net worth is their house. Most Democrats rent, and they mostly live in communal cities. Attacking the mortgage deduction is just the city communists attacking suburban life. They want everyone to move into a highly regulated gun-free commune, share their wealth with others, and live in equal misery under the thumb of the machine gun wielding no-knock jackboots.
That point’s been made twice now. I’d vote for that! :)
People like Hollande and the Obamas are either elitist hypocrites or they don't really believe in the socialist policies they preach about and implement for the rest of us.
Ding! Ding! Ding!
If you pay the grand for rent, it's gone forever, and you've had a place to live. If you pay a mortgage you've had a place to live, you will eventually build equity; in a normal RE market you eventually get some appreciation.
I wonder if CA has a base rate that goes to the state, and municipalities have the option of adding up to some amount; I recall paying 8 percent on a soft drink at some convenience store, probably in C of Industry.
I believe that is the case.
And eight percent? You’re getting off light; here in San Jose between state, county and municipal sales taxes it’s 8.75%.
Fair enough, but does that still justify a tax deduction for mortgage interest? IIRC, you don’t get a deduction for interest on a margin account when you buy stocks on margin.
Thank you for the ping, TADSLOS.
Before posting the FairTax answer to the question raised, I should remind FReepers of what the FairTax is:
“The FairTax is a single-rate, federal retail sales tax collected only once, at the final point of purchase of new goods and services for personal consumption. Used items are not taxed. Business-to-business purchases for the production of goods and services are not taxed. A prebate makes the effective rate progressive.”
HST here is the FairTax response to the question “What about the home mortgage deduction?”
[go to http://www.fairtax.org/site/PageServer?pagename=FAQs for answers to other questions you may have re: FairTax]
“The FairTax has positive effects on residential real estate far beyond this narrow question. Today’s homeowners, if they itemize (and 70 percent do not), pay their interest with post-Social Security/pre-income tax dollars. They then pay their principal with post-SS/post-income tax dollars. Those who do not itemize get no advantages at all. Under the FairTax, all homeowners make their entire house payment with pre-tax dollars.
“With the FairTax, mortgage interest rates fall by about 25 percent (about 1.75 points) as bank overhead falls; this is a huge savings for consumers. For example, on a $150,000, thirty-year home mortgage at an interest rate of 7.00 percent, the monthly mortgage payment is $999.12 for principal and interest. On that same mortgage at a 5.25 percent interest rate, the monthly payment is $830.01. Over 30 years, the 1.75-percent decrease in interest rates in this instance results in a $60,879 cost savings to the consumer. Finally, first-time buyers save for that down payment much faster, as savings are not taxed.
“Under the FairTax, home ownership is a possibility for many who have never had that option under the income tax system. Lower interest rates, the repeal of the income tax, the repeal of all payroll taxes, and the prebate mean that people have more money to spend and have an increased opportunity to become homeowners.”
The floor is open for questions.
Gotta disagree with the article
1. scrap the income tax is the best answer
2. beyond that, tax ONLY profit. ALL utilities and property expenses aren’t even counted as income. They are expenses.
Why not replace the income tax with the FairTax and abolish the IRS?
That’s my first choice.
But, if we’re gonna keep shoving this monstrosity down people’s throats, then let’s treat a “household” as a business enterprise trying to make a profit.
I agree!
Throw the ENTIRE Marxist income tax code onto the ash heap of history and replace it with what the founders universally endorsed! Taxes on articles of consumption! The bills to do that (HR25/S122) are already before congress and only need your support to become the law of the land!
In addition to the fair tax, and the repeal of the 16th amendment, there needs to be an amendment that prevents any exemptions to the tax and increases in the tax without a 3/4 majority of congress and the state legislatures agreeing, with the right of any state to not participate.
2. Will never happen
There are so many ways to calculate "profit," never mind the myriad ways to calculate inventory.
A consumption tax is the most transparent and simple you could hope for, but what would happen is we would keep all the other taxes and just add a consumption tax on top of them all.
The only way to change anything is to nuke Washington when Ubama is giving a speech to both chambers of congress.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.