3 ms·

What about property tax deduction? Why isn't that on the table if you are concerned about fairness. Texas has some of the highest property tax rates in the coun

by dmode 9y ago

What about property tax deduction? Why isn't that on the table if you are concerned about fairness. Texas has some of the highest property tax rates in the country. Why not focus on that deduction?

briandear 9y ago
I was referring to all state and local deductions. At the end of the day, the same income should pay the same federal tax. What states choose to do is their business. My point is that states ought not benefit or be discriminated against based on their tax policy. My federal tax bill ought not be different because of the state I live in. I actually live outside the United States, yet I get to file and pay taxes subsidizing a country in which I don’t even live. Aside from Eritrea, the US is the only country that does that.
- intopieces 9y ago
  >the same income should pay the same federal tax. Given the vast difference between local economies, this would result in huge disparities in effective tax rate depending on where you live. For example, a person who makes $100k in Kansas City, MO is far wealthier than someone making that much in San Jose, CA. Taxing them at the same rate is essentially a massive tax break for one and not the other. The SALT deductions account for this.
  - deleted 9y ago
    [deleted]
- kelnos 9y ago
  > At the end of the day, the same income should pay the same federal tax. I suspect you say this with the belief that things like state/local tax deductions are unique in how they cause the same income to pay different tax, but that's simply not true, and there's precedent littered across the federal tax code that enables this. Consider simple things like dependent exemptions and the difference between filing status (single, joint, separately, head of household) that can change how much tax you owe even if you earn the same income.
  - deleted 9y ago
    [deleted]

3 ms·

What about property tax deduction? Why isn't that on the table if you are concerned about fairness. Texas has some of the highest property tax rates in the coun

by dmode 9y ago

What about property tax deduction? Why isn't that on the table if you are concerned about fairness. Texas has some of the highest property tax rates in the country. Why not focus on that deduction?

briandear 9y ago
I was referring to all state and local deductions. At the end of the day, the same income should pay the same federal tax. What states choose to do is their business. My point is that states ought not benefit or be discriminated against based on their tax policy. My federal tax bill ought not be different because of the state I live in. I actually live outside the United States, yet I get to file and pay taxes subsidizing a country in which I don’t even live. Aside from Eritrea, the US is the only country that does that.
- intopieces 9y ago
  >the same income should pay the same federal tax. Given the vast difference between local economies, this would result in huge disparities in effective tax rate depending on where you live. For example, a person who makes $100k in Kansas City, MO is far wealthier than someone making that much in San Jose, CA. Taxing them at the same rate is essentially a massive tax break for one and not the other. The SALT deductions account for this.
  - deleted 9y ago
    [deleted]
- kelnos 9y ago
  > At the end of the day, the same income should pay the same federal tax. I suspect you say this with the belief that things like state/local tax deductions are unique in how they cause the same income to pay different tax, but that's simply not true, and there's precedent littered across the federal tax code that enables this. Consider simple things like dependent exemptions and the difference between filing status (single, joint, separately, head of household) that can change how much tax you owe even if you earn the same income.
  - deleted 9y ago
    [deleted]