Subsidy? A deduction? I guess you don’t understand what a Tax Deduction is. Let me ask you: have you ever taken one? What about a Child Tax Credit? Any other deductions? Ever? You don’t see me trying to shame you for keeping more of your own money. That’s all you.
I am commenting upon the claim that CA pays out more in federal income taxes than they get back. That is partially because they can deduct their high state taxes from their federal tax. Which in effect is a subsidy for their high taxes that persons with lower state taxes do not get. So yes, at that level, it is a subsidy by the feds of high state taxes. And that is the issue many conservatives have with the SALT deductions.