A clunker of an idea. The Homebuyer Tax Credit is another terrible scheme. The government allows individuals to take an $8000 credit for the purchase of a home. The government should quit trying to implant everyone in a single family house and instead allow individuals to live in a structure they can afford. The mortgage interest tax deduction and the exemption from income of $250,000/$500,000 on the sale of a personal residence under defined circumstances should be rescinded. The real estate market must be allowed to settle down rather than being jump-started with federal money. Meddling is muddying the mess more.
And, once again, the deficit-loving Republicans are also behind this raid on the public fisc. Senator Johnny Isakson (R-GA), a free-spending “socialist” from Georgia, is supporting the extension of the act.
Seems that the houses and cars are being sold to buyers who were already planning to acquire a house or a car anyway.
[See the “e-ssay” dated August 3, 2009 entitled “Less Government Regulation Series: The Terrorist Tax Again” discussing among other things the clunker program for cars.]
Bumper stickers of the week:
Like giving steroids to a grandmother
Government Tax Credit: Get A Home Without It