States ranked by claims for state and local tax deductions

AP and ABC News ^ | 18 Nov 17 | AP Staff

[SkyPilot]

The percentage of federal individual income tax filers claiming a deduction for state and local taxes paid in 2015, ranked by state:

1. Maryland: 45.7 percent

2. Connecticut: 41.3 percent

3. New Jersey: 41.2 percent

4. Virginia: 37.3 percent

5. Massachusetts: 36.9 percent

6. Oregon: 36.0 percent

7. Utah: 35.3 percent

8. Minnesota: 34.7 percent

9. New York: 34.5 percent

10. California: 34.4 percent

11. Georgia: 32.8 percent

12. Rhode Island: 32.8 percent

13. Colorado: 32.5 percent

14. Delaware: 31.6 percent

15. Illinois: 31.3 percent

16. Wisconsin: 31.0 percent

17. New Hampshire: 30.9 percent

18. Washington: 29.9 percent

19. Iowa: 29.5 percent

20. Hawaii: 29.1 percent

21. North Carolina: 29.0 percent

22. Pennsylvania: 28.6 percent

23. Arizona: 28.4 percent

24. Montana: 28.2 percent

25. Idaho: 28.0 percent

26. Maine: 27.6 percent

27. Nebraska: 27.6 percent

28. South Carolina: 27.3 percent

29. Vermont: 27.3 percent

30. Michigan: 26.5 percent

31. Missouri: 26.1 percent

32. Ohio: 26.1 percent

33. Kentucky: 26.0 percent

34. Alabama: 25.8 percent

35. Kansas: 25.5 percent

36. Nevada: 24.6 percent

37. Oklahoma: 24.0 percent

38. Mississippi: 23.3 percent

39. Louisiana: 23.0 percent

40. Texas: 22.8 percent

41. Indiana: 22.8 percent

42. Florida: 22.5 percent

43. New Mexico: 22.5 percent

44. Arkansas: 22.3 percent

45. Wyoming: 21.6 percent

46. Alaska: 21.4 percent

47. Tennessee: 19.3 percent

48. North Dakota: 18.5 percent

49. West Virginia: 17.0 percent

50. South Dakota: 16.9 percent

District of Columbia: 39.8 percent

_________________________________________________________________

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[Brown Deer]

[cherry]

tax rates will go up....deductions will never come back...

can tell you all right now, we'll be forced to move from our home of 25 years with its shop and smoke shop and walk in cooler and garden because our property taxes will never ever go down and now we get double taxed on it...

[octex]

Pinging to save. Thanks, BD, for posting the Reagan statement!

[cherry]

I think, as it stands, its a big money grab....the corporates will get there rates cut dramatically and their CEO's will take in millions and millions in bonuses...

meanwhile homeowners will get screwed.....

and it will never change....once these deductions are taken away, the middle class will be crushed...

[Brown Deer]

U.S. retirement accounts now have over $26 trillion in assets.

What makes you think increasing taxes is going to make the market go up another 25%?

Nobody is increasing taxes. The economy is booming again, more people are working, and there will be more money going into retirement accounts, driving the market further up.

The fact is, historically the S&P 500 has averaged gains of over 10% annually. So over the next 3 years, it is most likely to go up another 25%.

The NASDAQ was at 4700 almost 18 years ago and it was only a couple years ago, that it finally reached that point again. It's only gained about 30% since then. That's less than a 2% gain per year for the 21st century. So it's just beginning to rebound.

[kearnyirish2]

I live in NJ, and I think eliminating these deductions may be the first step in reducing the absolute waste of our tax dollars on the local and state levels. We pour massive amounts of money into the public school systems in particular, and they are horrible - and increasingly filled with foreign children.

[kjam22]

You should start with a 401k.

[SkyPilot]

I believe that of course, yes - people recognize that certain states have outrageous taxes (property, state, local). Some states have personal property taxes - gee, those are fun! If you move there and own an RV, boat, or cars, you are in a for nice "surprise." That's how states who don't have higher taxes in one area get to soak people through another means.

But if raising the taxes of millions of middle class Americans (many of them solid Republicans, Trump supporters, military veterans, cops, nurses, and parents) is the "solution" to attempt to entice local governments to lower their tax burden - then that is insanity. All local governments will do is shrug as families suffer. All the Feds are going to do is shrug and say "Well, we got our pound of flesh out of these saps so that the corporations and our donors could get a massive rate cut." Again, it cannot be emphasized enough: this is political suicide. This betrayal will cause the GOP to not only lose the House, but the political wave will drown Republican candidates at every level. The Democrats are already writing the commercials about families getting creamed - and this times, they don't even have to lie.

Mnuchin, Cohen, Ryan, and the entire editorial board of National Review has convinced many that NY, CT, MA, MN, NJ, CA, and other states are being "subsidized" by their tax dollars. No matter how many times that has been refuted here, people don't want to hear it. Deductions (dating back to 1913 in the Tax Code) from high tax states are "subsidies" from other people's wallets? Even though those same states carry the great majority of the Federal tax burden?

The false rhetoric allows a certain crowd to feel like they are "victims." It allows them to be angry and to be, yes, entitled.

It is the equivalent to scene in the Lord of the Rings - The Towers, where Saruman yells to the Wildmen that their land had been stolen from them by the people of Rohan, and they buy it hook, line, and sinker.

"They drove your people into the hills, to scratch a living of rocks!Take back the lands they stole from you. Burn every village!"

And so, rather than bring us together against the evil Democrats and the media, this Tax Bill (remember when it was called a "Tax Cut?") has divided us and will tear the GOP apart. Nice.

And all so that the donors, K Street, and Facebook come out like winners with a rate cut from 35% to 20% - AND the corporations get to keep those "evil" SALT deductions for themselves that are being take away from the rest of us.

Great job GOP! What's next? Are they going to try and pit Jews and Christians against one another?

[kearnyirish2]

If the middle class pays more income taxes then Trump will be voted out in 2020 and the Dems will win both houses of Congress. Obama wasn’t elected in a vacuum; working people are getting nowhere and they know it.

[kjam22]

I agree with you. But I'm saying, most people would be better off in the long run with a 401k or Ira that grows double digits every year than they would be with that $1100 average middle class tax cut. If I had to chose between the two I would take the growth. That's why Corp tax cuts are so important. When corps make more money, I agree the Wall Street guys make more, but so does everyone holding those stocks in their 401ks etc.

I know someone else will inform me that their house is their investment. Dumb. An investment is something you can sell pretty quickly based on market fluctuations etc. ....... a house that you live in is for holding all your stuff and raising your kids. They ain't the same thing.

[kjam22]

We all hope that doesn’t happen..... But if your ability to stay in your home of 25 years has always hinged on being able to write off your property taxes..... I mean what were you thinking all this time???? Good grief.

[CodeToad]

“Eliminating deductions until a flat tax is in place is nothing but contiinurmed theft by the feds”

Taxes on income and property are theft no matter how you calculate the tax.

You don’t own it if the government can just take it. So long as there are taxes on income and property, you don’t own a damned thing; there are no personal property rights.

[CodeToad]

” New York: $22,169

2. Connecticut: $19,665

3. California: $18,438

4. New Jersey: $17,850

5. Massachusetts: $15,572

6. Minnesota: $12,954

7. Maryland: $12,931

8. Oregon: $12,617

9. Illinois: $12,524

10. Rhode Island: $12,434

11. Vermont: $12,408
“

Liberal hellhole States the rest of us support by letting them keep that money via deductions. Since the personal deduction is going up by $12,000 those are the only States that may see a tax increase. Tough noogies. get a grip on your States and stop expecting the rest of us to support you.

[Scotswife]

I live in Trump country in NY. (Yes - it exists)
Did my mortgage and SALT put me over the old standard? Yes it did - but not by much. The new standard does exceed our estimated itemized deductions.
In our situation - we are looking at the loss of 7 personal/dependent exemptions.
So it doesn’t really matter what state I live in - I will use the new standard and still wind up in the hole.
This is not “relief” - this is not “easing the burden” on our middle class family.
To top it all off, they are eliminating education credits.
“Simplification” via elimination of many beneficial tax breaks is NOT what people voted for.

[Thibodeaux]

You live in New York

You have been taking the deduction for NY taxes and not paying your fair share

[Scotswife]

Fine - raise the tax burden on middle class families then.
Observe the resulting consequences.

[SkyPilot]

Liberal hellhole States

Oh, like the one Jim Robinson lives in? Like the ones that disabled veterans, widows, children, and patriots live in? People like you on the forum who believe that vast stretches of the United States of America (and the millions of people who live there) are nothing but dirt under your feet are the real enemies of freedom and conservatism.

You advocate civil war in your tag line. I guess you don’t care who the combatants are, as long as you can push division and your victim hood.

[SkyPilot]

...not paying your fair share.

I’ll say this about the tax screw job debate: it has exposed Freepers who are really closet liberals.

[CodeToad]

“Oh, like the one Jim Robinson lives in? Like the ones that disabled veterans, widows, children, and patriots live in?”

Stop hiding behind their skirts, for crying out loud. Grow up, you liberal. We veterans in the other States are tired of subsidizing you and your high tax States!

See, when you hide behind someone else’s skirt we can put on our skirts too, ya idiot.

[CodeToad]

” Like the ones that disabled veterans...I guess you don’t care who the combatants are, as long as you can push division and your victim hood. “

Typical liberal: You hide behind veterans then point your finger and claim others are claiming victim.