Mortgage Forgiveness Debt Relief Act of 2007

Current status


Bill summary

 * Excludes the debt forgiven on a qualified principal residence from the definition of gross income subject to income tax (Sec. 2).


 * Reduces the income tax breaks on most gains from the sales of non-primary residences using a formula based on the amount of time that the taxpayer actually lived in the property during the five-year period before the sale (Sec. 5).

Key votes

 * Vote to pass a bill that eliminates the income tax on mortgage debt forgiveness on primary residences for people in financial hardships and lowers the amount of a gain made through the sale of most non-primary residences that is not subject to income tax.



Supporters

 * American Homeowners Foundation
 * Financial Services Roundtable
 * Mortgage Bankers Association
 * National Association of Home Builders
 * National Association of Realtors