MID - issue for the white house

gales0678 · #1 02-27-2009, 01:35 PM

The new plan calls for tax rates above 28% to longer be able to use the MID on there tax return

So a family that makes 300k a yr and buys a house say worth 3x there salary a 900k house , now will no longer be able to deduct the interest payments from their income

don't get this one folks , the tax rate on income is going back to 39.5 % pre-bush , take this one away and a lot of upper middle class people will see their effective tax rate (since their house is thier biggest asset) go up even higher!

NAR already has a letter out to Obama this one will be interesting to watch as it will effect a lot of people in CT , NY and CA where all of the senators except uncle joe in ct who is an IND. are dems

timmgirvan · #2 02-27-2009, 02:02 PM

No one in his right mind would put this on the taxpayer...no matter what they made per year.

Cannon Shell · #3 02-27-2009, 02:13 PM

Housing market stinks? Yeah lets make it less attractive to buy homes.

SniperSB23 · #4 02-27-2009, 02:22 PM

I'm with you guys on this one. I'm all for raising the tax rates in the top brackets but reducing incentive to buy houses seems to be a very poor idea.

witchdoctor · #5 02-27-2009, 02:24 PM

Quote:

Originally Posted by timmgirvan

No one in his right mind would put this on the taxpayer...no matter what they made per year.

Well we have a democratic congress. It probably will pass.

timmgirvan · #6 02-27-2009, 02:34 PM

Quote:

Originally Posted by witchdoctor

Well we have a democratic congress. It probably will pass.

When people realize what all this about, there's gonna be Hell to pay!
These leaders(and I use that term loosely) have constituents that will begin recalls! You can't essentially freeze the housing market and expect it to recover magically. Agreed....it's all a "house of cards" but Obama has no net in place for the people.

Danzig · #7 02-27-2009, 04:30 PM

also read earlier about the push to allow judges to force lower interest rates, etc in bankruptcy-so where is the incentive not to file if they do that? yes, it helps the hurting buyer-but hinders the banks from loaning in future, and probably will encourage folks who wouldn't file to do just that-especially if it means a lower interest rate and more favorable terms than what they currently have. banks are screaming about the idea, i don't think it's going to fly.