Originally Posted by Remington270
Originally Posted by mike35549
I don't really know why people were ever allowed to deduct state tax in the first place. Seems like a way to subsidize states with high tax rates. For me and the amount of money me and my wife make it looks like our taxes would go down just a little. If the lower corporate tax rate creates jobs and grows the economy in the 4% range over the next 8-10 years I am all for it. And if your mortgage is over 500k you probobly gonna be ok. Very small percentage of people live in a house worth over 1/2 million dollars.


Why should government allow any deduction of mortgage interest at all? At any house value? After all, most folks don’t even itemize, so it doesn’t help those folks even under the current system.


If your mortgage interest is more than the standard deductible, I guarantee you anyone would itemize. That wouldn't be as common any more with the increased standard deductible that's proposed. For example, last year I itemized but based on this proposed plan, I would have taken the increased standard deductible. That being said, the mortgage interest deduction is more of an incentive to become a home owner more so than it is to just create an additional item to deduct.

This year I started a business, so it will be itemizing from here on out for me regardless.