Isn’t this a excellent reason to protest tax rates in these states? Because there has been no limit on these deductions, folks in these states don’t mind paying those taxes to the state. Maybe it’s time they start caring how much they are being taxed.
Maybe it’s time they start caring how much they are being taxed.
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that would be novel ...
The easiest way to get around these stupid tax provisions is to buy a relative's house in the same state and sell your home to that same relative. Pay rent to each other through LLCs that you establish for each property. You will be able to deduct all of your property taxes and maintenance costs, along with depreciation on the property as well.
I wouldn't be surprised if CPAs for wealthy homeowners in some of these high-tax states are cooking up schemes like this already.
That's not true that people "don't care." For instance, one of the chief reasons Chris Christie was elected (twice) in NJ was because he finally put a cap on property tax raises, which had gone bananas during the administrations of Florio, McGreevy, and Corzine.
But what people in states like NY and elsewhere face is an IRS on the Federal level that is merciless, and states and local governments on the other that are tone deaf. People are being squeezed.
I love it when people post: "Well, why do you just get them to lower taxes?"
Sure, I'll drain the oceans while I am at it.
“Isn’t this a excellent reason to protest tax rates in these states? Because there has been no limit on these deductions, folks in these states don’t mind paying those taxes to the state. Maybe it’s time they start caring how much they are being taxed.”
As if protesting in NY, NJ, CA, IL etc will do any good. It’s like asking criminals to stop being criminals.
“Isn’t this a excellent reason to protest tax rates in these states?”
It is indeed. It’s also an excellent way to starve local Rat political machines.
L