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Politics : Formerly About Advanced Micro Devices

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TideGlider

To: J_F_Shepard who wrote (830584)	1/17/2015 5:58:06 PM
From: i-node	1 Recommendation Read Replies (1) of 1575590

Tax deductions are provisions the Congress has made to permit deductions against taxable income. They are provided for various reasons, none of which would be properly classified as "subsidies". For example, the tax deduction for mortgage interest is not a "subsidy" for home mortgages. It is Congress saying they believe it is good public policy to encourage home ownership so they made it less expensive to do so by virtue of allowing people who borrow money to buy homes a tax deductions. One could argue it is a subsidy to Freddie Mac and Fannie Mae; but I'm not sure about the clarity of claiming it is a subsidy both to the homeowner and the lenders at the same time.

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