What are SALT taxes besides property taxes and state income taxes?

[Anonymous]

Also the car tax in Virginia which could be $1000 or more.

[Anonymous]

Property Taxes: $9k
State income tax: $20k

At least we got rid of AMT, but this just sucks. I get the idea is to norm local education so that it sucks as much as Texas, but still this is ridiculous. But I guess no matter how bad it is here NY and NJ have it even worse.

[Anonymous]

Anonymous wrote:If the personal exemptions were for minor kids, you will come out ahead as the child tax credit will more than make up for it. Its a credit on taxes rather than deduction on income and more valuable for most.

We only got $400 per kid. How is this the case?

[Anonymous]

how about lowering local taxes

[Anonymous]

Anonymous wrote:Property Taxes: $9k
State income tax: $20k

At least we got rid of AMT, but this just sucks. I get the idea is to norm local education so that it sucks as much as Texas, but still this is ridiculous. But I guess no matter how bad it is here NY and NJ have it even worse.

If you paid AMT last year....your SALT deductions were already limited. Do your taxes and you might actually come out ahead depending on your circumstances.

[Anonymous]

Anonymous wrote:

Anonymous wrote:If the personal exemptions were for minor kids, you will come out ahead as the child tax credit will more than make up for it. Its a credit on taxes rather than deduction on income and more valuable for most.

We only got $400 per kid. How is this the case?

who did your taxes?

[Anonymous]

How many people are thinking of moving from MD because of this?

[Anonymous]

Our state income tax: $6K
Our state property tax: $9K
Other deductions (mortgage interest, charities): $11K

Took $24K standard deduction (instead of $26K itemized we would have taken under the old plan)

Got a $4500 Child Tax Credit (instead of $20K in exemptions for our family of 5 + $2000 Child Tax Credit under the old plan).

Even with the lower tax rates, we lost out.

[Anonymous]

Anonymous wrote:How many people are thinking of moving from MD because of this?

It's bad in DC and VA too

[Anonymous]

Just be like rich people and pretend to live in Florida. Most of them don’t actually live there and no one really audits it.

Most wealthy folks are either barely skirting along or outright breaking the law. I remember this came up during the election when reporters discovered that Steve Bannon was voting in Florida and claiming residency, despite spending very little time in the state.

“Republican” is just another name for law breaker.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If the personal exemptions were for minor kids, you will come out ahead as the child tax credit will more than make up for it. Its a credit on taxes rather than deduction on income and more valuable for most.

We only got $400 per kid. How is this the case?

who did your taxes?

And how much do you make? It phases out beginning at $400K, so if you're very high earners, you won't get the full credit. But if you're under $400K and only got $400 per kid, something is amiss with your tax form.

[Anonymous]

We owed 18.5k in state tax, and about 15k on our primary & vacation home...so we're about 24k over the SALT limit. We're taking standard 24k deduction this year...but it turns out QBI gave us a big deduction for being 1099 self employed.

[Anonymous]

Just our RE taxes on 2 houses are $20k. State income taxes are at least triple that. It adds up.

[Anonymous]

Anonymous wrote:Just be like rich people and pretend to live in Florida. Most of them don’t actually live there and no one really audits it.

Most wealthy folks are either barely skirting along or outright breaking the law. I remember this came up during the election when reporters discovered that Steve Bannon was voting in Florida and claiming residency, despite spending very little time in the state.

“Republican” is just another name for law breaker.

“Not paying taxes makes me smart.” —Donald J. Trump. With this Trump tax plan we’re paying 2600$ more this year thanks to the loss of SALT (AGI 180)

[Anonymous]

Anonymous wrote:

Anonymous wrote:Here's our situation:

State (MD) and local (MoCo) income tax (HHI of $190K): $14,000

Real estate taxes ($850K house in Bethesda): $7,500

Total SALT: $21,500; deduction lost $11,500.

I haven't done our taxes yet to see the net impact, but I'm scared.

You are in the sweet zone of people who would be the most impacted 150K to 200K in high tax states but its not a sure thing.

Depending on number of kids, prior AMT status, marriage penalty you might breakeven. Only one way to find out is to do your taxes.

Cheer up! While people in the 150-200k income bracket are paying more in taxes, the ultra rich will be getting tax cuts averaging $700k.