RISMedia
  • News
  • Premier
  • Reports
  • Events
  • Power Broker
  • Newsmakers
  • More
    • Publications
    • Education
No Result
View All Result
  • Agents
  • Brokers
  • Teams
  • Marketing
  • Coaching
  • Technology
  • More
    • Headliners New
    • Luxury
    • Best Practices
    • Consumer
    • National
    • Our Editors
Join Premier
Sign In
RISMedia
  • News
  • Premier
  • Reports
  • Events
  • Power Broker
  • Newsmakers
  • More
    • Publications
    • Education
No Result
View All Result
RISMedia
No Result
View All Result

Mortgage Interest Deduction Safe in New Senate Tax Bill

Home Uncategorized
By Liz Dominguez
November 10, 2017
Reading Time: 2 mins read

The proposed tax overhaul isn’t a done deal just yet. While the House Republicans’ bill was approved on Thursday by the House Ways and Means Committee, the Senate Finance Committee unveiled its own version that is sure to cause delays in a tax reform resolution.

After only four days of debate, the House Ways and Means committee passed through a winning vote (24 to 16) on the Republican bill, but not without changes. Committee Chairman Kevin Brady restored the adoption tax credit and added an amendment that has “three crucial priorities: helping American families, providing tax relief to Main Street startups and increasing American competitiveness,” he said.

Mostly Democrats proposed amendments during markup, leading to a last-minute Republican outcry for a win with a Senate Finance Committee submission into the tax policy ring. The new proposed overhaul is identically named “The Tax Cut and Jobs Act,” but differs in tax policy that affects both businesses and individuals.

Here’s a quick breakdown of the Senate bill:

  • Keeps the 7 current tax brackets, but adjusts qualifying income levels
  • Doubles the standard deduction for individuals, married couples and single parents
  • Protects deductions that the House bill threatens: medical expenses and interest on student loans for college
  • Protects mortgage interest rate deduction and charitable giving deductions
  • Increases child tax credit from $1,000 to $1,650—as does the House bill
  • Doubles the gift tax amount that is exempt from taxation to $11 million

Most importantly to the real estate industry, the Senate tax bill maintains the threshold for the mortgage interest rate deductions for future purchases at $1 million, instead of lowering it to $500,000 as proposed in the House bill.

National Association of REALTORS® (NAR) President Elizabeth Mendenhall said that as NAR reviews the legislation, REALTORS® are steadfast in ensuring homeownership is protected throughout the tax debate.

“While we are still reviewing the outlines of this proposal, we are watching closely for changes to current law that might leave middle-class homeowners—and homeownership broadly—in a worse place than it is today,” says Mendenhall. “We’ve already seen that a near-doubling of the standard deduction, combined with the elimination of other deductions like the state and local tax deduction, can turn the American Dream into a nightmare for families as the rug is pulled out from under them. Simply preserving the mortgage interest deduction in name only isn’t enough to protect homeownership.

“America still believes in the promise of homeownership,” Mendenhall says. “Tax reform should reflect that belief, and as we continue to examine this proposal, that’s exactly what we’ll look to see.”

While the Republican party is searching out ways to pass a successful tax reform bill with an aggressive deadline, the two options may cause delays in Congress due to clashing beliefs.

Stay tuned to RISMedia for more developments.

Liz Dominguez is RISMedia’s associate content editor. Email her your real estate news ideas at ldominguez@rismedia.com.

For the latest real estate news and trends, bookmark RISMedia.com.

ShareTweetShare

Liz Dominguez

Related Posts

NAR Secures Major Victory in DOJ Probe Debacle
Agents

NAR Secures Major Victory in DOJ Probe Debacle

January 26, 2023
Uncategorized

Video Test Page

January 25, 2023
An Open Letter to MLSs and Their Member Brokerages
Uncategorized

An Open Letter to MLSs and Their Member Brokerages

July 14, 2022
Should You Install Wallpaper If You Plan to Sell Your House in a Few Years?
CRISIS-Friendly

Should You Install Wallpaper If You Plan to Sell Your House in a Few Years?

June 15, 2022
RISMedia Honors New-Agent Success With Annual ‘Real Estate Rookie of the Year’ Award
Uncategorized

Only 2 Weeks Left to Nominate a Standout Agent as ‘Rookie of the Year’

June 15, 2022
How to Maximize Editorial Coverage in Your Content Marketing Strategy
Uncategorized

How to Maximize Editorial Coverage in Your Content Marketing Strategy

June 6, 2022

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Tip of the Day

The Great Housing Market Correction of 2023

For much of the past two-and-a-half years, it has been a housing market free-for-all, with bidding wars, multiple offers over... Read more.

Business Tip of the Day provided by

Recent Posts

  • How to Leverage Virtual Staging for Your Listings (and Why It Works)
  • Inflation May Be Slowing, but so Is Consumer Spending
  • Pending Home Sales Snap Six-Month Decline With Pre-2023 Rebound

Categories

  • Spotlights
  • Best Practices
  • Advice
  • Marketing
  • Technology
  • Social Media

The Most Important Real Estate News & Events

Click below to receive the latest real estate news and events directly to your inbox.

Sign Up
By signing up, you agree to our TOS and Privacy Policy.

About Blog Our Products Our Team Contact Advertise/Sponsor Media Kit Email Whitelist Terms & Policies ACE Marketing Technologies LLC

© 2023 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.

No Result
View All Result
  • Home
  • Premier
  • Reports
  • News
    • Agents
    • Brokers
    • Teams
    • Consumer
    • Marketing
    • Coaching
    • Technology
    • Headliners New
    • Luxury
    • Best Practices
    • National
    • Our Editors
  • Publications
    • Real Estate Magazine
    • Past Issues
    • Custom Covers
  • Events
    • Upcoming Events
    • Podcasts
    • Event Coverage
  • Education
    • Get Licensed
    • REALTOR® Courses
    • Continuing Education
    • Luxury Designation
    • Real Estate Tools
  • Newsmakers
    • 2022 Newsmakers
    • 2021 Newsmakers
    • 2020 Newsmakers
    • 2019 Newsmakers
  • Power Broker
    • 2022 Power Broker
    • 2021 Power Broker
    • 2020 Power Broker
    • 2019 Power Broker
  • Join Premier
  • Sign In

© 2023 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.

X