--- In FairfieldLife@yahoogroups.com, m2smart4u2000 <[EMAIL PROTECTED]> wrote: > > It seems that getting health insurance is just a losing game. > S Corps cannot deduct, as an expense, health insurance paid for > employees, C corps can deduct it. If you pay for your own health > insurance and are self employeed, you can deduct it. > Now they want to > tax the health insurance benefit? This is weird.
There should be equal deductions across teh board for all types of employees and business owners. The propose deduction cap is $11,000 / year which covers most employees. It would simply cap some high cost executive policies. > I read that the > interest deduction would be limited to primary residence. > Seems to me, that this change hurts the middle class, which is > quickly dwindling. Tax incentives are intended to have a purpose -- not just a giveaway to a large block of voters -- which mortgage deductibility has become. The original and only sound economically justifiable intent is to encourage INCREASED home ownership. That is, to subsidize the marginal buyer, lower income, first time buyers -- entry level buyers. A $350,000 mortgage deductibility cap does that in almost all markets. I think its overkill, and should be limited to 100k. The deduction is a drag on the economy. It induces higher investments in housing at the expense of capital investments which improve [productivity -- which is the main driver of wage rates. Wages and salaries, as well as the rate of technological innovation, are lower than they could / should be, year after year, due to the high mortgage deductibity limits which benefit the wealthy far more than the middle class. As if we need an incentive for people to upgrade from a 4,000 sf house to a 6,000 sf house! ------------------------ Yahoo! Groups Sponsor --------------------~--> Get fast access to your favorite Yahoo! Groups. Make Yahoo! your home page http://us.click.yahoo.com/dpRU5A/wUILAA/yQLSAA/JjtolB/TM --------------------------------------------------------------------~-> To subscribe, send a message to: [EMAIL PROTECTED] Or go to: http://groups.yahoo.com/group/FairfieldLife/ and click 'Join This Group!' Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/FairfieldLife/ <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
