Loss of Property Tax Deduction for Non-Itemizers

Your Distressed Property and Short Sale Expert in Maryland

 If you don't itemize you Federal Tax return you will lose the property tax deduction that has been available for the last few years. This break cost the Treasury $1.6 billion in 2008 and 2009.

However, most wage earners will have a 2% reduction in payroll taxes(Social Security and Medicare) for 2011 - one year.

Altogether the tax bill will cost us(US) $858 billion - borrowed money!

Republican are now firmly in the Keynsian camp(not a big secret) - government spending to prime the economy - they just demagogue against it - many probably don't even understand it.

Saw in intersting cartoon in Washington Post. Elephant "reindeer" with an Obama "Santa" on a roof with Obama delivering packages: Start Treaty, Tax Deal, 9-11 Responders Health Bill, DADT Repeal, down a chimney. The Republican Elephant "reindeer"  says: "How'd he talk us into this again?"

Looks like concerns co-incided - which is how they should govern, but Obama and the Democrats can take a lot of credit for this. even thought the Republicans say they got what they wanted, the kudos go to the President.

Hopefully, we are all better off to have these issues resolved. START will keep the process of Russia becoming closer to the West and less a rogue, although there is far to go.

DADT - no more wasting time on this issue.

9-11 Responders - let's be done, and fulfill promises made.

Tax Package - the big worry - adds so much to future bills fo the US, and of course - massive amounts of pork for various industries, while taking a few items away from wage earners. Weakens the stability of our economy because it is a house of cards. The only thing that backs our currency is the ability of taxpayers to pay the bill(Ft. Knox doesn't hold enough gold for that!), and that is questionable looking forward.

So far, it looks like the bailout of the last two administratins has been a success - maybe even slightly profitable in the long run. but the mounting debt is looming...

On the positive side, it looks like hiring is starting to increase, and even though foreclosures are still increasing, this crisis should abate in a year or two. Banks are actually controlling losses through short sales and loan modifications - the new realty, but economically expediant.

 Looking forward to 2011, and as always, a new set of challenges...

 Dennis

www.MarylandDistressedProperties.com

www.Frederick-MontgomeryCountyHomes.com