Posted on 09/30/2019 10:24:00 AM PDT by Conserv
A federal judge handed the Trump administration a win Monday, dismissing a lawsuit from states with high taxes.
The lawsuit asked U.S. District Judge J. Paul Oetken to block the Tax Cuts and Jobs Act's limit on how much people can deduct in state and local taxes (SALT). The provision effectively raised the tax burden on citizens of high-tax states.
LOL the left sued trying to use the 10th.
They’ve completely ignored the 10th until now.
I never understood the state income tax deduction. Why should people in high tax states pay less in federal taxes? Why should the federal government subsidize high tax states like New York and California? The imbeciles who voted themselves entrenched Democrat leadership are at fault here.
Appointed July 20, 2011 by Barack Obama! Color me shocked. I think that’s the first time I guessed wrong about who appointed a judge.
Gee, I thought all these rich people wanted to pay more taxes.
He certainly put it in The Resistance's pooper...
>>I never understood the state income tax deduction. Why should people in high tax states pay less in federal taxes? Why should the federal government subsidize high tax states like New York and California? <<
The average NJ/NJ/CA/CONN person pays more in federal taxes than the rest of the country. How is the Federal government subsidizing them when they pay more to begin with?
Besides, what part of paying taxes on taxes do you not understand? Just because you are sending a check to two different places, still makes it a tax.
I get it, the grasping commie dems have raised taxes so high to begin with. That said...I’d be fine with eliminating SALT entirely. Make the rest of the country eat it as well. See who squeals more then.
Why should we, in New Hampshire, with no income or sales taxes be forced to subsidize rich folks in NY, etc., who, by electing leftists, have both taxes?
“Why should people in high tax states pay less in federal taxes?”
The deduction propagates Plank #2 of the Communist Manifesto.
Two Communistic thieving governments can steal more than one.
“The provision effectively raised the tax burden on citizens of high-tax states.”
A giant half truth amounting to a lie.
The provision forced the citizens of high tax states to recognize the effective high tax burden their politicians have raised on them.
Without the new federal tax provision the high tax states had federal taxpayers subsidizing their high state taxes with higher federal taxes on everyone, to fund the generous federal deductions allowed for state taxes.
In my book their should be either 1 of 2 things: Preferably no deductions for state taxes, or at the most deductions for state taxes set to be no more than what could be taken for state taxes in a state whose taxes were the median level of state taxes among all the states.
But my total preferred choice is a universal flat tax, with no deductions, no exemptions, no exclusions and no credits - just a flat tax everyone pays, period. The only exemption to it being universal is I would have an income floor below which the tax would not apply - for the very very poorest among us (but finding that level would count federal and state benefits as income).
This is how the fed-gov was “shadow-subsidizing” those states. Rather than just giving the states money, they were reducing the income tax burden on the citizens of those states, allowing the states to “tax more”.
WINNING!!!
“...I get it, the grasping commie dems have raised taxes so high to begin with. That said...I’d be fine with eliminating SALT entirely. Make the rest of the country eat it as well. See who squeals more then.”
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Well, I suspect that “the rest of the country” would be tickled pink to eliminate the SALT deduction entirely. I know I would. Let’s all campaign with our representatives to do just that!
Why? Because wonce they are done destroying their State they will move to yours and start again by damaging your State.
I never understood the mortgage interest deduction. Why should the federal government subsidize high home pricing anywhere?
This is similar to the language involving lowering tax RATES which usually leads to increasing tax revenues (taxes). It may seem like a small thing, but is even more important in this second instance. Not educating the public about the difference between a tax rate and a tax(amount) is one of the main reasons that the left got away with claiming that Trump’s tax reform only reduced “taxes for the rich.” This falsehood was a big part of the reason we lost the House in 2018. Most people do not understand numbers and so can be easily fooled.
“...The provision effectively raised the tax burden on citizens of high-tax states...”
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I was surprised that Maryland was among the states trying to advance this lawsuit. As a Maryland resident, if they REALLY cared about their taxpayers they would allow us to itemize on our state tax returns without a requirement to first itemize on our federal tax returns. The DemocRATS in our legislature blocked the needed changes to allow this,
No, all those rich socialists(well they want the socialist life pushed on you but not them)want high taxes on the middle class people in the state so they can give the producers money to the non producers. Now since the actual taxpayers won't be able to write off a portion of those excessive taxes those states a rightfully afraid, as has been proven, that the producers will flee their states.
The average NJ/NJ/CA/CONN person pays more in federal taxes than the rest of the country. How is the Federal government subsidizing them when they pay more to begin with?
How? By offsetting a portion of those taxes paid. Pay your fare share bro...
I agree.
And yes, when I speak of “flat tax” I am speaking of a flat tax rate.
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