Artigo Revisado por pares

The Accidental Deduction: A History and Critique of the Tax Subsidy for Mortgage Interest

2010; Duke University School of Law; Volume: 73; Issue: 1 Linguagem: Inglês

ISSN

1945-2322

Autores

Dennis J. Ventry,

Tópico(s)

Fiscal Policies and Political Economy

Resumo

In late 1988, the National Association of Realtors (NAR), still stinging from the Tax Reform Act of 1986, which cut into the value of housing tax subsidies, launched a campaign to bolster support for the mortgage interest deduction (MID). Among other tactics, the NAR ran a radio spot on stations across the country warning that Congress was about to eliminate the tax subsidy propping up homeownership. A sappy, melodramatic song foreshadowed the end of the American Dream: “Where she can be what she wants to be. Where you can live when he’s all grown. Where she keeps her memories. It’s a home of his own.” Politicians were about to dash the Dream. “Don’t let Congress eliminate your mortgage interest deduction. Keep the American Dream alive.” The somber voice hastened listeners to contact their elected officials and to tell them that their family’s economic well-being depended on the MID. Never mind that changes to the tax code in 1986 had made the deduction worthless for most Americans. At a time when fewer than 30% of all families

Referência(s)