Reason Podcast, 12/06/17

Source: Reason

“One of the most-controversial parts of Republican tax reform is the Senate’s proposal to sharply limit the amount of mortgage interest homeowners can deduct from their taxes. Under current law, homeowners can deduct interest on mortgage loans of up to $1 million for two houses, plus interest on home equity loans worth another $100,000. That currently costs the federal government about $70 billion in foregone revenue, making it one of the biggest ‘tax expenditures’ in the federal budget. The Senate tax bill would allow homeowners to deduct the interest on $500,000 of mortgage debt for a single residence. But even that lower level is too much of a giveaway, says Anthony Randazzo, the director of economic research at Reason Foundation.” [editor’s note: It’s not a “giveaway,” nor does it “cost” anything — it’s just not taking some people’s money. Personally I’d rather see it done away with and the tax RATE cut such that that $70 billion in foregone theft gets spread among everyone, though. OK, well, I want the rate cut to zero, but you know what I mean … – TLK] [various formats] (12/06/17)