Still not a free market for renters...
Also, emphasis mine on the immediate quote below.
'come to expect' = entitlements = political backlash
$this->bbcode_second_pass_quote('', '[')b]Proposal: Kill AMT, some breaks and fat
President Bush's tax-reform panel submits two proposals that would alter the federal tax code.
November 1, 2005: 2:34 PM EST
By Jeanne Sahadi, CNN/Money senior writer
NEW YORK (CNN/Money) - The president's tax-reform advisory panel submitted two final proposals Tuesday morning to the Treasury Department, both of which offer significant changes to the tax breaks people have come to expect -- as well as to the complexity and costs of filing that many have come to detest
...
Alter homeowners' tax breaks
The panel recommended lowering the mortgage interest cap, which is the amount of a loan on which home owners would receive a tax break for interest paid, from $1 million to the average regional housing price in the range of $227,000 to $412,000.
The deduction would be converted to a credit equal to 15 percent of interest paid on mortgages up to the interest cap. A credit is a dollar-for-dollar reduction of the taxes you owe, while a deduction only reduces your taxable income by a percentage equal to your top tax rate. Deductions benefit high-income taxpayers the most and are limited to those taxpayers who itemize on the federal tax returns.
Generally speaking, the higher your mortgage loan and the higher your tax bracket, the more likely it is that you'll see less of a tax break than you would under the current system. That's because under the current...
Link to CNN Article
