In general, wealthy higher-tax states subsidize the poorer, lower-tax states. The argument for the deduction, which has always existed, is to prevent people fr

In general, wealthy higher-tax states subsidize the poorer, lower-tax states. The argument for the deduction, which has always existed, is to prevent people from being double taxed. A higher-tax state may tax its citizens to pay for infrastructure or services, whereas a low-tax state relies on the federal government to pay for the same stuff. There are tons of people in poverty in a lot of southern lower-tax states. Who do you think pays for all of the government services these people need? The tax plan was specifically designed to harm blue states and to make residents of blue states pay and even higher, even less balanced share of tax receipts in the country.