Originally posted by sh76
I assume you mean the mortgage interest deduction (there is no deduction for mortgage tax). Eliminating the mortgage interest deduction would depress real estate values and hurt the middle class. There are much better ways to increase taxes on the wealthy if that's what you're after,
This is bunk. The benefits of the MID flow mostly to higher income individuals:
Households earning over $100,000 in 2012 claimed 77.3 percent of the total MID tax savings, essentially the same as in 2010.
Meanwhile, homeowners earning between $30,000 and $40,000 saved an average of $587 in 2012, or $49 a month off their mortgage.
For households making between $40,000 and $50,000 the average tax savings was $54 a month.
Combined these groups represented just 8 percent of MID claims.
http://www.ncpa.org/sub/dpd/index.php?Article_ID=23940
It's primarily a tax dodge for the wealthy that encourages the purchase of higher priced properties while giving little benefit to the median income homeowner. Only about 20% of American households earn more than $100,000 (http://www.npr.org/sections/money/2012/07/16/156688596/what-americans-earn) yet this relatively small group gets 77% of the benefits of the MID.