Representative John Dingell, a Democrat from Michigan is drafting a “carbon tax” bill that will remove the mortgage interest deduction for homes over 3,000 square feet. Rep. Dingell is chairman of the House Energy and Commerce Committee. He realizes the proposal will be controversial, but he feels in order to address issues of climate change, we must address issues of consumption. Many of these larger homes have two story entry areas, vaulted ceilings, extra bedrooms and walk-in closets. All these additional space require more energy to heat and cool.
Critics point out that square footage may not be the best measure. Some newer houses are “built green”, and include energy efficient appliances, windows and heating systems. Also measurement of square footage often varies significantly, so it may be tough to police. Finally, the mortgage interest deduction is one of the biggest tax deductions for most Americans, and Capitol Hill will face quite a battle trying to take away this sacred deduction.
