So we’re not going to be lectured by people who are actually in what has sometimes been referred to as taker states, who actually receive more money every year from the federal government. Than they send in terms of taxpayer dollars as to what is fair and what is right.
It’s actually not fair that you have many states in this country who subsidize other states. New York subsidizes other states, and so to provide some measure of relief through the state and local tax deduction, I think is a modest step toward balancing the revenues that come in and the revenues that come out.
The people of New York are fine with continuing to be a donor state, but it is unfair to cap the state and local tax deduction at $10,000. And if my Republican colleagues were really interested in providing relief to middle-class taxpayers that they represent, then they would simply say and make clear that this budget should remain silent on the state and local tax deduction because by doing nothing, the cap disappears effective December 31st of this year.
Wait, is congress trying to dictate state and local tax policy? Why? And how would that be allowed. They have power over federal taxes and interstate commerce, not internal tax policies for each state.
Wait, is congress trying to dictate state and local tax policy? Why? And how would that be allowed. They have power over federal taxes and interstate commerce, not internal tax policies for each state.
https://www.forbes.com/advisor/taxes/salt-tax-deduction/
It’s just this. Not anything to do with how local taxes work.
Ah, it is a deduction on federal tax based on paid state and local tax. That makes more sense.