No to a SALT cap repeal

Congress is considering another big tax cut for the rich. Of course, since it’s Democrats suggesting this tax cut, said cut is wrapped up rather differently than usual.

The SALT cap repeal is presented as making the system fairer so that people don’t pay tax twice on the same incomes, etc. But it’s the Democrats’ voting rich who will get this tax cut in outsize numbers. The basics of SALT are that one can deduct state and local taxes from income when filing federal taxes. So, if a person lives in a high-tax state, normally Democratic-run states, and he or she has a high income, then this is a very valuable deduction. State taxes in New York can be as much as 14% of income. California is not much different.