The 10 biggest federal income tax breaks (and how much they cost)

[DC Al Fine]

The mortgage interest deduction is one of the absolute worst pieces of public policy America has.

Indeed.

[DC Al Fine]

We really need to make capital gains taxable like regular income and go even higher on ridiculous sums.

Someone who invests his pittance in hopes of a decent retirement shouldn't be taxed to death. 

We already have that. They're called 401k's, IRA's etc.

I'd personally be happy with taxing Cap Gains/Dividends/Interest the same as Ordinary income and be done with it.

[DC Al Fine]

Peoples' limited understanding of capital markets always saddens me a bit.

Please enlighten us.

[DC Al Fine]

Oh, and I should add that I noted the sarcasm, I just chose not to engage with it.

I know people on here often get upset when their ignorant rants aren't met with tremendous respect and treated as informed opinions. So apologies to those who feel offended and so on.

I was being serious...

You are right about excessive capital gains taxes ruining income growth. If we put in a 50-90% top marginal rate like some posters want and taxed capital gains as ordinary income, it would be disastrous. but at current rates there is probably room for raising taxes without harming the capital markets. Capital gains tax is 15% in the USA, but 20-25% in Canada. I see no harm in raising it to say 20% in order prevent the highest earners from paying average tax rate than those much poorer than them. Obviously such a hike would not make a big difference in the deficit (maybe $40-50 billion), but then again taxing capital gains at 90% wouldn't either.