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What Mortgage Forgiveness Tax Relief Means to the Real Estate Recovery

As taxes are being weighed in Congress, tax relief on mortgage forgiveness is set to expire at the end of the year

According to the IRS, if you owe a debt to someone else and they cancel or forgive that debt, the canceled amount may be considered taxable income. The Mortgage Debt Relief Act of 2007 was enacted to allow taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a short sale or a foreclosure, qualifies for the relief.  This Act is set to expire at the end of 2012. As home prices spiraled downward and millions of homeowners became underwater on their mortgages (owing more than their homes were worth) during the housing crisis, this measure was needed so consumers who were already financially devastated could pick up …

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Pennsylvania Gaming Revenue Highest in the US

New PA casinos rake in more tax dollars than NJ, Nevada and Delaware combined.

In an article in Allentown's the Morning Call, Pennsylvania raked in more than $1.5 billion dollars in taxes last year from its ten casinos. According to the Gaming Control Board and the American Gaming Association, Pennsylvania earned more than New Jersey, Delaware and Nevada combined. "Pennsylvania leads and it's not even close," said Richard McGarvey, spokesman for the Pennsylvania Gaming Control Board to the Call. "That's what happens when you have a 55 percent tax rate in a state this big." The high rate is credited with the big haul. While Pennsylvania gamblers only lost $3 billion at the casinos, compared to say Nevada's $11 billion lost at over 256 casinos, the Commonwealth's high tax rate brings in more overall money. So where is …

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