Posted on 03/03/2019 8:27:30 PM PST by GuavaCheesePuff
Nearly 11 million Americans nationwide would have been capped from deducting more than $323 billion in state and local taxes in 2017 because of changes enacted in the GOP's tax reform legislation, according to an audit released Tuesday by the Treasury Inspector General for Tax Administration — and expect similar results for the 2018 tax year.
The 28-page report offers a new window into the full scope of the $10,000 cap on SALT deductions, which is supported by the White House and top congressional Republicans but has been heavily criticized by the leaders of many high-tax Democratic states, including New York, and by elected officials on Long Island. The cap went into effect in the 2018 tax year.
The audit, which relies on federal tax returns, estimates that if the SALT limits had been in place in 2017, 10.8 million tax filers would have lost a combined $323 billion in deductions. Auditors estimate similar results in tax year 2018, where more than 10 million taxpayers will be unable to fully deduct their state and local taxes, the report said.
(Excerpt) Read more at newsday.com ...
Thanks for the ping.
1982 = 1862.
I live in NYS, too, and am a homeowner. And I support the cap.
One of the reason NYS’s spending has been and is out of control is because other states were paying our freight.
New York, California, Conneticut, New Jersey, and other high tax states contribute waaaaaaaaay more in Federal taxes than do Alabama, Mississippi, New Mexico, and others.
Some Freepers and misguided Conservatives have made this into a "Get the Liberals!" screed.
The millions of veterans, Conservatives, and Patriots in those high population states? "Screw em!" Well, now there's a National Campaign Winning Strategy! Isn't it?
Would like to hear more from them.
I'm self-employed. I have been paying more in taxes every year since the 2008 financial crisis/economic meltdown -- because I have been earning more money each year.
I usually write out 10 checks to the state and feds each year. 4 quarterly estimated tax payments, and then balances due in April. (Do I need to say I'm a conservative?)
My accountant sketched things out when we did our taxes last year. If my income had remained the same, I would have paid less in taxes. We have a fairly small house so we loose some deductions, but not a lot. (My college is a looser here.) One effect of tax reform is that it is very unlikely now that I will ever buy a larger house here in New Jersey. Maybe in a low-tax (and preferably warmer) state, but not in New Jersey.
The rest of the country shouldn't need to subsidize the profligate spending habits of politicians in the Blue States. Yes, I'm cheering it on. "Let 'em burn!"
It’s not about getting the liberals.
All taxation is legalized plunder.
I’m for less legalized plunder. If folks are fed up with high taxes at the state level, they can vote in budget cutters.
It is now a common acronym created with the new tax law that has a $10,000 cap deduction on combined State And Local Taxes.
Then you should be against the Tax Bill, because it steals Trillions from more citizens to feed FedZilla.
Look, I believe the Corporate cut was good for the overall economy. Tax cuts are good for the economy.
But instead of an across the board cut, they picked "winners and losers."
Moreover, the tired argument of "Well, those people in those states should just move or vote out the Democrats" is stupid.
So that's our answer? Hey, the tax bill screwed you over, so move away from your chosen home, your elderly parents, your business, your job, your children...…
Really? We are now destroyers of people's lives?
There are Conservative pockets in every liberal state. Many of those were represented by Republican Congressmen. Many of those Congressmen are now gone, lost seats in last November's election.
I think that President Trump wanted his tax cut, and he left the particulars to Paul Ryan and the Goldman Sachs twins (Cohen and Mnunchin).
They didn't do the Republicans, and millions of Conservatives, any favors.
It increased my overall tax burden a bit, changed my return by about 900 bucks less than the previous year, but I’m fine with that - less of my money the gov gets to use tax free for a year.
Did you personally end up with less wealth, after taxes, overall?
I pay more to FedZilla.
Thanks for the "middle class tax cut."
This is good news. I am sick and tired of subsidizing tax payers in high SALT states.
Good attitude you have!
I’m curious if the economic boost of the change increased your income more or less than the increased taxes.
Seems to me most people hurt by the change would gain more from the increase in stocks or pay.
I am sick and tired of subsidizing tax payers who choose to live in high SALT states...most are deep blue states.
Don’t want to revive the arguments. Just wondered how it worked out for you overall.
I/m hoping the political cost will be reversed and high SALT politicians will be hurt this year. We’ll see.
So people who are forced to pay the Feds taxes upon taxes that they already paid are "subsidizing you" personally?
Taxpayers are not welfare recipients.
More blue staters will head south. Speed up the already changing dynamics. Red states will be finished off in time.
Yep. Within a decade or two the entire eastern seaboard from Florida to Maine will be a solid blue wall. VA is already gone. NC is on the brink. GA is 10% Hispanic and almost elected a progressive zombie Aunt Jemina. Literally every “Republican” from SC has been a huge disappointment, etc. And given the open borders agenda of the GOP I have to think they are just fine with that.
If the salt reduction had been part of a democrat tax plan headline would be:
“Millions of Americans finally carrying their own weight.”
That's a legitimate question.
I pay more in taxes.
I pre-paid some property taxes last year before the tax bill went into effect, and I took some other measures both this year and last year in order to protect myself. But my taxes went up. The same for millions of other individuals and families.
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