Down in Washington, lawmakers are set to consider mayor overhauls in the federal tax system. Meanwhile, here in Long Island, local politicians have been rushing to the microphones to denounce the plan, claiming that it will take away the "greatest tax breaks" that middle-class residents have.

Among those criticizing the plan is Nassau County Legislator Dave Mejias (D-North Massapequa).

Recently, Mejias and many of his fellow Democrats on the legislature joined with representatives of the Long Island Board of Realtors (LIBOR), the Long Island Progressive Coalition and several Nassau County homeowners to rally against the President's proposed tax reforms that they claim will "devastate" current tax benefits for homeowners.

The Nassau County Legislators, including Presiding Officer Judy Jacobs (D-Woodbury), Kevan Abrahams (D-Hempstead), Deputy Presiding Officer Roger Corbin (D-Westbury), Joseph Scannell (D-Baldwin), Jeff Toback (D-Oceanside), Lisanne Altmann (D-Great Neck), Craig Johnson (D-Port Washington), Diane Yatauro (D-Glen Cove) and Dave Denenberg (D-Merrick), all called upon federal representatives in Washington to block this proposed plan. No Republicans joined the LIBOR in criticizing the plan.

A Presidential Advisory panel recently recommended reducing deductions for mortgage interest and eliminating those for state and local taxes.

"The proposal is a classic example of shifting wealth from the middle class to the wealthy by funding tax cuts for the wealthy through elimination of tax breaks for the middle class," said Legislator Mejias. "The rich have capital gains tax cuts and the AMT cut, and the middle class loses its greatest tax breaks - the local real estate tax and mortgage interest write offs."

"The housing industry, which has driven and sustained the economy for the last five years, could be seriously impacted by the proposed tax reforms," added LIBOR President Marian Fraker-Gutin. "By reducing the deduction on mortgage interest and property taxes, as well as state and local taxes, the financial stability of many Long Island families could be grossly compromised. Moreover, consumers' nest eggs will be jeopardized because much of investment for retirement is tied to the equity consumers have in their homes."

In letters to U.S. Senator Hillary Clinton, U.S. Senator Charles Schumer, Congressman Gary Ackerman, Congressman Tim Bishop, Congresswoman Carolyn McCarthy and Congressman Steve Israel, the Nassau lawmakers commended the federal representatives for the stand they have already taken against the President's proposed tax reforms.

"Limiting the mortgage interest deduction for homes under $300,000 when the average house in Nassau County is worth $500,000 puts the dream of homeownership that much farther out of reach for Long Island families," Denenberg said.

Currently, an interest payment on up to one million of first mortgage debt is deductible. According to published reports, the panel is considering recommending that the figure be lowered to $300,000. The median prices of homes in $500,000 in Nassau County and in Suffolk County is $400,000.