- Nov 2012
- Lebanon, TN
Are you really that ignorant. Tax deduction on interest..Before Reagan, the top tax rates were in the 70% plus range. However EVERYTHING was a write off. The interest on all almost all loans, not just mortgages but car loans, even credit card interest was deductible. This is where the old "three martini lunch" came from. It was all a write off. Hell even the
hookerser evening entertainment was written off. Few people paid any where near the top rates. And frankly the ones I heard complaining the loudest were driving the nicest cars and had the biggest houses. What it did do was encourage people to spend that money, plow it back into the economy. Today ?? They just pay the tax and slap it in the bank or fatten up their investment fund.
you pay a bank 20,000 in interest, you save 4,000 on taxes
if you think that is a great deal send me 20,000 and on april 15th next year I will give you 4,000 of it back. Mathmaticaly That is EXACTLY what you are proposing