Updated July 27, 2017
AB 71 would end a tax break that allows homeowners to deduct the interest from the mortgage on their second home from their state taxes. About 31,000 Californians received the tax break last year. The bill would direct those funds to an existing program that finances low-income housing construction through tax credits.
If the MID were eliminated for second homes, 2,152 home sales would be lost in the first year after the implementation. The potential impact of the MID elimination is an economic loss of $180.2 million to the state of California in the year following the implementation.
We are opposing changing the mortgage interest deduction for the following reasons:
STATUS: In Assembly.
Questions? Please contact Victor Cuauht√©moc Gomez, Sr. Director of Public Policy at email@example.com
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