Homeowner Tax Deduction Targeted by Debt Commission

Just because the deadline for the homebuyer tax credit was extended, don't assume that incentives to buy a house are untouchable. Sen. Alan Simpson (R-Wyo.) and President Clinton's former White House chief of staff, Erskine Bowles (pictured left) -- who head President Obama's national debt commission -- told a meeting of the National Governors Association on Sunday that the U.S. needs to rein in the national debt in any way it can, citing tax breaks such as the mortgage tax deduction and Medicare financial triggers as likely targets. The total federal debt is anticipated to exceed $14 trillion next year, amounting to around $47,000 for every U.S. resident.