North Carolina set to cap MID, property tax deductions

Talk of overhauling the federal mortgage interest deduction may get more attention, but states that have such homeowner subsidies on their books are also giving them a second look.

A bill that would cap the combined tax break for mortgage interest and property tax deductions in North Carolina at $20,000 has passed the state House of Representatives and Senate and is expected to land on Gov. Pat McCrory’s desk, the Triangle Business Journal reports.

The North Carolina Association of Realtors worries that the cap may be lowered again next year or the deduction eliminated entirely. Source: bizjournals.com.