 As a comparison to the FairTax for encouraging home ownership, the current tax system would have to allow all taxpayers to fully deduct the purchase of used property against income and payroll taxes, expand the mortgage interest deduction so that it permits a deduction against payroll taxes, fully untax interest income to lenders and institutions, and fully untax returns on savings.However, since several areas would be tax free under the FairTax plan, it could decrease the social incentive to spend more on homes in favor of savings, education, or other investments.Like the home mortgage interest deduction, charitable giving receives preferential treatment under current tax law allowing individuals to deduct the donation, to certain charities, from taxable income.