The mortgage interest deduction—the highly coveted tax break granted to homeowners—was up for discussion as a special presidential commission on tax reform started meeting in mid-October. Few expect a recommendation to eliminate the deduction, but the panel is more than likely to consider scaling back the deduction on second homes or home equity loans. At press time, the group was to have made recommendations to Treasury Secretary John Snow (pictured) in the late fall. President Bush will choose which ones to propose to Congress.
Source: Los Angeles Times