Issue link: https://nest.uberflip.com/i/949758
P resident Trump campaigned on a tax-cut, promising he would enact "a middle-class miracle." Since his surprise victory, parts of his agenda have stalled, but in December he delivered on taxes, signing the Tax Cuts and Jobs Act, arguably the largest overhaul of the U.S. tax code since the Ronald Reagan era. Much remains to be settled, of course. The bill was designed to boost the overall economy and create new jobs and while it is too soon to tell whether those will materialize or whether the law's 1.46 trillion price tag will push inflation and interest rate to levels that outweigh any potential benefits one change that may affect many is the capping of a popular tax break for homeowners. Touching on Taxes What a Tax Law Means for You In 2018 Often regarded as a favorite child of the U.S. tax code, the new law scales back some long-standing write-offs, including mortgage interest and state and local taxes. It's not necessarily bad news. Given the law's many other tax-slashing provisions, many, if not most, homeowners will likely still see an overall tax cut. On the other hand, the law could still hurt them in a different way: by slowing the growth of home prices. The chance to deduct hefty expenses like mortgage interest and property taxes has long been a big financial benefit of owning a home. These will continue. But lawmakers tightened the cap for mortgage interest, allowing homeowners to deduct interest on