Good article from the WSJ Editorial Board on the group of Dems known as the "SALT Democrats". These are the Dems who represent Northeastern (high tax) States who garnered their house seats largely based on the promise they would repeal the SALT cap within the tax code. While raising or eliminating the cap was part of the Build Back Dumber framework, it got removed once the agenda was pared back and became what was ultimately pass (the Has Nothing To Do With Reducing Inflation Act). With that tax package now passed, there's no longer an opportunity for this Congress to take up any SALT amendments. As we head to the midterms, will be interesting to see if any constituents turn on their reps who had promised movement on this.
Also, perfect opportunity to point out how patently unfair the old system was, that someone in a higher taxed (locally) state, got to pay less than someone in a lower tax state when it came to FEDERAL income taxes. Personally, I think they need to do away with state and local deductions all together. If you choose to live in a higher tax state, or buy a more expensive house or car that is subject to higher taxes, that shouldn't reduce your income tax liability to a larger extent than someone who lives more modestly.
www.wsj.com
Also, perfect opportunity to point out how patently unfair the old system was, that someone in a higher taxed (locally) state, got to pay less than someone in a lower tax state when it came to FEDERAL income taxes. Personally, I think they need to do away with state and local deductions all together. If you choose to live in a higher tax state, or buy a more expensive house or car that is subject to higher taxes, that shouldn't reduce your income tax liability to a larger extent than someone who lives more modestly.
Opinion | The SALT Democrats Surrender
Northeast House Members break their tax-deduction pledge.
www.wsj.com
