CALIFORNIA/GOP/NEW YORK/TAXES: “New York and California’s Democratic governors said on Friday [10-27-17] residents would face hefty tax increases and some would leave their states under a proposal in the Republican tax plan that would eliminate state and local tax (SALT) deductions on federal income tax.
Andrew Cuomo of New York and Jerry Brown of California spoke in a joint conference call a day after the Republican-controlled U.S. House of Representatives passed a measure that advanced President Donald Trump’s tax plan.
Republican leaders have sketched out an outline of the tax measures that would eliminate the tax break, although detailed legislation will not be unveiled until next Wednesday…
The SALT deduction allows residents to subtract income taxes paid to states and local governments from the total income taxed by the federal government taxes. Its elimination would be one among a series of measures to offset lost revenues from what are envisaged as sweeping overall cuts on corporate and personal taxes.
While analysts say the overall tax package would cut taxes for companies and individuals by up to $6 trillion over the next decade, many residents of high-tax states who use the deduction would pay more, the governors said.”
-Laila Kearney, “NY, California governors say residents would suffer under Trump tax cuts,” Reuters, Oct. 27, 2017 01:16pm