Free Republic

The first rule of extortion is, you don't call it extortion. When thugs come around to collect, they don't act like they're taking your money, they act like they're claiming theirs. They treat you as if you stole from them, and they've come to set things right. It's a psychological assault employed by all tyrants. What's yours is mine. You keep what I allow, and should thank me for the privilege.That same thuggish sentiment underlies our government budget debates. The Left has skillfully established the premise that the state owns all wealth, and lets us have some of it. Acceptance...

In effect since 1913 and long considered an untouchable provision of the tax code, the mortgage interest deduction as we know it may not be around to celebrate its 100th birthday. The National Commission on Fiscal Responsibility and Reform is recommending that the mortgage interest deduction no longer be an itemized deduction; instead, it would be transformed into a non-refundable tax credit equivalent to 12 percent of interest paid on mortgages up to $500,000. What this would mean for taxpaying homeowners is up for debate. According to the National Association of Realtors, progress has been made recently in bringing stability...

Get Rid of Tax Breaks for Homeowners? No Way!By Gerri Willis Published August 18, 2010 | FOXBusiness The administration's housing summit Tuesday looked at much more than just what to do with the floundering Fannie Mae and Freddie Mac. What they discussed could impact every aspect of a homeowner's life - from down-payment requirements to the all-important mortgage tax deductions. In fact - some experts now are saying deductions should be a thing of the past According to the USA Today, the government spent about $80 billion last year to back up the mortgage interest deductions. But one housing specialist...

ST. PAUL, Minn.—As Minnesota governor, Independence Party candidate Tom Horner says he would "take a hard look" at tax exemptions and deductions, including mortgage interest for homeowners. Horner said Thursday he favors capping the deduction homeowners can claim, although he didn't set an amount. "I don't think we ought to eliminate the mortgage deduction. I don't think that we ought to exclude second homes," Horner said. "But I do think it is reasonable to say that at a certain level Minnesotans shouldn't be subsidizing total investment in mortgages." There are some limits in place now: State law lets Minnesota taxpayers...

Want a tax hike that will really hit home … literally? The Hill reported yesterday afternoon that momentum has picked up for capping the mortgage-interest deduction that has incentivized real-estate purchases. It comes as the National Commission on Fiscal Responsibility and Reform looks at means-testing a number of programs, including Social Security and Medicare: The popular tax break for mortgage interest, once considered untouchable, is falling under the scrutiny of policymakers and economic experts seeking ways to close huge deficits.Although Congress last year rejected the White House’s proposed cut to the amount wealthier taxpayers can deduct for home mortgage interest...

Nancy Pelosi’s and Barack Obama’s words are ringing true: We will learn what is in the bill once it is passed. New long term care deduction on everyone's paycheck-$150-250 a month, unless you opt out. This would be in addition to your health insurance premiums, and taxes you already pay. See the video for details.

The battered house on Sherwin Road was put to good use before the fire department burned it to the ground. SWAT teams barged through the front door in an exercise on dealing with domestic violence. Rescue crews scattered mannequins around the house and blew smoke through the halls to simulate a meth lab explosion. Firefighters set fires in one room after another and practiced putting them out. Then, in one last drill, they torched the whole place. Five years later, though, a dispute still smolders over the homeowner's attempt to claim a $287,000 charitable tax deduction for donating the house...

...arlier this month the nonpartisan Congressional Budget Office delivered its latest revenue-raising options for Senate and House consideration as they write this fall's tax and budget legislation. Tucked away in the report are several incendiary plans that could — if adopted — cost homeowners billions of dollars. Though not formal legislative proposals, the CBO's options represent a handy fiscal menu for legislators to pick and choose from to reduce the deficit — now at unprecedented levels — or to pay for new programs they might want to advance. Tops on the CBO's hit list for housing: Slash deductions for homeowner...

The state budget that Gov. Jon Corzine unveiled yesterday calls for the elimination of property tax deductions on state income taxes next year, raising about $420 million to help offset spending. For middle-class New Jerseyans, however, the missing deduction could pack an extra punch: They also would lose their property tax rebates under the governor's proposal for the fiscal year beginning July 1. The $29.8 billion proposal represents "tough choices to do the right thing," Corzine told a joint session of the Legislature. As he promised to protect children, the elderly and the working poor, the governor asked others to...

February 26, 2009 - President Obama released his budget proposal this morning. A small section of the sweeping budget plan has the potential to become a major impediment to a recovery in real estate markets across the nation. NAR is 100% opposed to the provision that modifies the Mortgage Interest Deduction and is prepared to use its formidable array of resources against its enactment. As currently drafted, the plan changes the Mortgage Interest Deduction by reducing the amount of mortgage deductibility on families earning over $250,000. This proposed change in the Mortgage Interest Deduction will result in further erosion of...

One advantage of having a subscription to The Atlantic is finding out what the Democrats propose to do next. Clive Crook in under the rubric of "The Agenda" wrote a recent article on homeownership called Housebound. After agreeing with some benefits of homeownership he then lists the reasons why this is a bad idea. Among his complaints are: Homeowners are less mobile. Homeowners act as cartels interfere with zoning changes, suppress new developments, etc. And, not the least is that they have an unfair advantage in mortage-interest deductions. The last of these, interest deduction for mortgage interest, seems to be...

SAN FRANCISCO (MarketWatch) -- These days, many of us leave the myriad, line-by-line tax decisions to our professional preparer or the mystery men behind our tax software. But given the increasing complexity and ever-changing nature of the U.S. tax code, it makes sense to keep abreast of some of the most valuable perks yourself. After all, it doesn't hurt to make sure your software program is steering you in the right direction or to check in with your preparer to see whether you qualify for a tax break. "I'm blown away by all the changes," said Michelle Maton, an enrolled...

Before I look for a CPA to give me the law, I just thought I'd ask here for a quick, general response: Can you apply a deduction to this year's return that you did not take on last year's return? My specific case is this: Just found out that you can choose to deduct EITHER the total sales tax you paid OR the amount of state income tax you paid. I built a house in 2005 and paid an enormous amount in sales tax (I built in the state of washington where everything is slapped with a sales tax, but...

CLIFTON, N.J. - For more than a decade, Daoud Othman and his family have rented a small apartment and dreamed of owning a home with a yard for the children to play in. Othman thought about applying for a mortgage from a bank, but as a devout Palestinian Muslim he couldn't, bound by a prohibition in the Koran against paying interest. But now, Othman and many others like him are joining the ranks of homeowners using special Islamically-approved financing, a fast-growing phenomenon that has been common in Muslim nations for years, but is only now catching on in this country....

<p>BY some reports, the just- passed federal tax cut favored the rich at the expense of the poor. Yet U.S. Treasury data show that lower-income taxpayers received a larger percentage tax cut than higher-income taxpayers. Families with modest incomes received an expansion in the 10 percent tax bracket, an increase in the standard deduction for married couples and an increase in the child tax credit.</p>

Hello all. Complete vanity here. I've suddenly come into a good deal of money. However, my parents aren't very well off. It's not enough money that I could suddenly give them a big chunk of it and not miss it, BUT, if it means giving them the money and keeping it out of the hands of the government at the same time, well that I can deal with. Does anyone know if it's possible to give a large gift to your parents and declare it tax deductible? I thought I'd heard something about this before. I will probably go to...