Posted on 09/29/2017 9:59:24 AM PDT by rktman
As President Trump prepares to sell his tax plan to the nation's manufacturing lobby on Friday, his best-laid tax plans have already drawn objections from some fellow Republicans who are fuming over the decision to end deductions for state and local income taxes.
The situation will pit the White House against members of Congress from states that pile high income taxes on top of what the federal government takes from paychecks.
High-income Californians, for instance, pay as much as 13.3 per cent of their income to the state in addition to their federal taxes. New Yorkers can pay up to 8.82 per cent.
Just seven U.S. states have no personal income taxes, including Texas, Florida and Nevada
(Excerpt) Read more at dailymail.co.uk ...
Nope. State and local taxes - both income and property - would no longer be deductible.
Under that logic, every dollar that California and New York pay in federal taxes should only be spent in California and New York.
If that happened, your smaller red state would likely be screwed, because you are almost certainly receiving more in federal dollars than you are paying.
The only change is to eliminate the income tax paid to the state in which they live (high tax state or low to no state income tax!)
Only Demorat states have confiscatory income taxes like California 13% and New Your 11 %. They have lousy demorat senators and we subsidize those states with the deduction. It is imperative that we keep them out of getting any deduction. It hurts the Republicans not!!
We also refuse some other Obama mandates, thus his administration eliminated the funds we would have gotten (some liberal education mandate, as I recall.)
“I think Cohn said that only 25% of the people would be affected by the SALT deduction.”
Yes, but only 50% of us are paying federal taxes. Every American should have to pay some federal tax that would automatically go up whenever taxes are raised. I don’t care if it is $100.
Historically, Kansas has received slightly more than it paid, but that does look like it’s changed some in recent years.
Just on a hunch I clicked to see if you have a profile and *viola!*... I see you're from the land of Saint Andrew The Pious.
I therefore,Sir,refer you to Post #23
Well, that's a whole other argument. If they really wanted to be fair, they would eliminate the income tax & have a national sales tax. That way everybody would pay & it would eliminate (or greatly reduce) under-the-table payments that are not taxed. The rate could be relative low, because everybody would be paying.
There is NO WAY to get a majority in the House if they persist with eliminating SALT deductions.
It’s not possible.
You are correct in that we aren’t getting more back from the feds but we have many KS libs who are trying to change that back.
One thing that President Trump has accomplished is to cause more RINOs and Republicrats to reveal themselves to the nation.
He has called the bluff of hypocrites who campaigned to repeal Obamacare and left the hanging in the wind for all to see what phonys they really are.
Like the NFL protesters, they think they are winning battles here and there, but that war isn’t over yet and neither is the one in Washington between President Trump and the RINOs and Republicrats.
And I still have my money on President Trump.
High income states have dem Senators.
“No more Tax Breaks for Rich Libs?”
You MUST be referencing us hard-core Conservatives with six figure incomes...in every state in the union.
Right?
Are you aware that ANYONE who itemizes will lose the SALT deduction, and many of them will pay a higher net tax as result? Every analysis done on this plan so far calls that out.
Yet you spew the GOPe talking point that’s designed to split the conservative caucus between those who live in blue states and those who do not.
When in fact this change affect EVERYONE who itemizes.
Of course, you don’t itemize because you don’t have sufficient income.
And you’re perfectly OK with “tax the rich”...
Thing is, you’re not rich at $100k/yr.
The quickest way to a Dem Congress (and presidency) is eliminating local tax & mortgage deductions.
“It’s a great idea. Get your reps to repeal those state income taxes or move to another state.
Why should CA suck in billions in federal money when all their citizens get a pass on their federal taxes?”
You are ignorantly mimicking the talking points of the GOPe.
In Texas they deduct the state sales tax as well as all property taxes. Texas is the 4th largest beneficiary of the SALT deductions.
In CA they deduct the state income tax along with property taxes.
This hurts EVERYONE who itemizes, no matter which state they reside in.
Get a clue.
“I think it’s a great idea to end what is literally a Federal subsidy of liberal welfare states.”
You’re ignorance is on display. As is your gullibility to GOPe talking points.
“I have always wondered about giving federal tax credit for taxes paid locally. “
It’s not a credit. It’s a deduction.
And it’s been there since the inception of the income tax in 1913.
The concept is simple: You don’t tax money paid in taxes.
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