[quote=FlyerInHi]For the more entrepreneurial and leveraged, mortgage interest deduction works out better, I think.[/quote]
This is very true…Again, any change is going hurt one party and help another so they need to take a baseline of what we have now, and consider what to change since it’ll hurt someone.
At the end of the day, I think a lot of us just wants what will be better for ourselves. It’s selfish, but such is society and life nowadays.
The point about the MID not helping a lot of flyover states is more because their mortgage is just too low because their housing cost is too low compared to the standard deduction. With it being $12,400 now, if you aren’t paying more than that in MID, you’re better off probably using the standard deduction…depends on other items of course as well (donations, etc)…but it’s not an issue with the MID itself.
Say you are someone who is a business owner and have lots of business expenses or simply decide to keep growing your business and run it at a loss (lots of tech companies do this actually)…Your tax rate is essentially 0 so taking away the MID which you might be using to offset, say IRA withdrawals or something hurts people who aren’t pure w-2 earners.
I would vote for having simultaneous plans and you choose whichever one helps you better.
I honestly doubt the gov’ment folks can work together enough to make anything happen…especially in an election year.
They were talking about getting rid of this MID like 9 years ago I think and it got nowhere.
They can’t even figure out the internet tax issue for the whole US.
It’s just to make it look like they are trying to work I feel and “doing something” to justify their jobs.
