Reply to Trump flip flops on SALT Tax Deduction

Forum Index » Money and Finances

Reply to "Trump flip flops on SALT Tax Deduction"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]As someone who pays more than $10,000 in SALT each year and itemizes deductions, let me join the other people in this thread who would be better off if this policy changed but still recognize that letting people who make more money find additional tax shelters is unfair.

They should leave the cap as it is or ban deduction of state taxes outright, and they should also stop subsidizing my mortgage with that deduction, while they're at it. [/quote]

Agree with this. Deductions should be for activity related to producing income, or encouraging some broad social goal, e.g., family formation. Having relatively high state income taxes satisfies neither of these. So no SALT deduction, period.

[/quote]

It's as if you paid zero attention to US history in high school - the 10th Amendment, the balance between federalism and states' rights, redistribution of federal tax intakes (ie. "fiscal union"), etc. These are the reasons why are had full deductibility of SALT for 160 years of American history.

Not surprising your eyes glazed over all of this in 11th grade.[/quote] We had slavery for hundreds of years, doesn’t make right to keep it.

If this so fundamental, why didn’t Biden fix it ? He had an all Dem congress for the first two years. And apparently, would have gotten R support from Blue states to revise the tax law. I guess he slept through the same class.

Or maybe, it’s just not right to demand a tax deduction [b]because your state government is inefficient with high taxes for expensive programs. [/b]And even Sleepy Joe knew this. [/quote]

High tax states are high tax because of public pensions. That’s really all it comes down to. [/quote]

It seems like they also generate more revenue for the federal government as well. [/quote]

That’s a slippery slope. My husband lives in CT and works in NY. My company is based out of CA and I live in CT. CT isn’t generating anything in our scenario. We just happened to choose CT because - you guessed it - taxes in CT were lower than in NY or NJ. My husband has a four hour round trip commute from where we live (the most southern town in CT) to the Financial District where he works. If everyone whining about SALT moved two hours away from their job their taxes would probably be lower too, but instead people bombard DCUM of how they are at their breaking point after a week of commuting 45 minutes each way. Maybe recognize that you made a trade off and live with your decision instead of constantly complaining about how you are being victimized. This entire conversation is just beyond. All of these liberal people complaining about how they want a regressive tax policy back and how modifying SALT in 2017 violated their constitutional rights. [/quote]

I’m PP, bringing SALT back would probably net me less than $1000 so it’s not like I have much to gain.

I’m just ticked about the Paul Ryan narrative that bringing SALT back is  “red states” are subsidizing “blue states” when it was really the other way around from the beginning, even with the SALT deduction.[/quote]

moving from 10K to 40K means I can deduct 35K instead of 10K. Love it.  [/quote]

Damn, you are just so ignorant!  Standard deduction is 29K already![/quote]

$40K SALT + $20K in mortgage interest + $5K in charitable donations = $65K in itemized deductions

That easily swamps a $30K standard deduction for MFJ. [/quote]

Just to put a point on this. We are 32% tax bracket in DC, have $20K in mortgage interest and $5K in charitable donations.

Current federal tax paid with $10K SALT: $85,932
Federal tax paid with $40K SALT: $76,804

Tax Savings: $9128

That's basically a year of colleges savings for one of our kids. That's huge.[/quote]

Yep, would be huge for us as well[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics