Posted on 11/02/2021 6:42:48 PM PDT by grundle
Democrats are about to include a tax break in their $1.75 trillion social spending plan that will overwhelmingly benefit higher earners.
On Tuesday, Rep. Josh Gottheimer of New Jersey wrote on Twitter that the provision had been added into the plan. A Democratic aide familiar with negotiations told Insider that Democrats were eyeing a five-year tax break that runs through 2025, a development first reported by Punchbowl News.
The break would also be retroactive to this year.
The SALT deduction allows taxpayers to deduct their state and local tax totals from their federal obligation. Under Trump's 2017 tax plan, the previously unlimited deduction was capped at $10,000. That primarily impacts taxpayers in areas with high local taxes, which tend to be in wealthier blue states like New Jersey.
Trump's tax plan especially hit people with properties in multiple states, who were able to deduct their state property-tax totals in, for instance, New York City, if they had a property there as well as a nearby state like New Jersey, Pennsylvania, or Connecticut. Revenge of the SALT Caucus
A repeal does have bipartisan support: 32 legislators from both sides of the aisle formed a "SALT Caucus" in April. Speaker of the House Nancy Pelosi has said that the Trump cap was "mean-spirited" and "politically targeted" by taking aim at wealthy residents of blue states. It also had support from Senate Majority Leader Chuck Schumer of New York.
Marc Goldwein, a budget expert at the nonpartisan Committee for a Responsible Federal Budget, projects that the five-year SALT deduction would amount to a $500 billion tax cut - with $400 billion flowing to the top 5% of households.
(Excerpt) Read more at yahoo.com ...
Not after the elections in Virginia......
There’s material here to be exploited, wealthy Dems in high tax blue states want their deductions back.
Like, TAX THE RICH, MAN!
Lotsa New Yorkers were p***** with President Trump over the limit.
And blue states want their backdoor federal subsidies back.
Lowering taxes on the really rich.
That’s the real Democrat party.
Not just New Yorkers....
Dems for the rich, like John Kerry.
We are unfortunate enough to live in a state that went blue because of all the immigrants and California transplants. Most parts of the Western side of the state of Washington are unrecognizable when compared to what it was like during our youth.
We pay over $20,000 a year in state and local taxes and we pay income tax on $10,000 of the money we give to the state. And we are not that wealthy, by the time we pay all of our taxes we are left with maybe $40,000 a year. Does that make us wealthy?
Sounds like a terrible situation. My sympathies.
Pay your fair share man!
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