4 ms·
There was no rich/poor distinction in your example because you're ignoring the fact that the SALT deduction only comes into effect with itemized tax filings. >9
by disgrunt 5y ago
There was no rich/poor distinction in your example because you're ignoring the fact that the SALT deduction only comes into effect with itemized tax filings. >90% of the country takes the standard deduction, of which this SALT deduction has no effect. As such, only the highest tax brackets are affected by this cap.
Let's be honest about what this uncapped deduction was, it was a means to disproportionately keep rich tax payers tax dollars in their local areas. The middle and lower classes don't even come close to this $10K cap, nor do they file itemized taxes. Do we really need tax laws to help further the rich enrich themselves?
If you really want to end this double taxation, then I'm all in favor. But it must apply to all forms of taxation and all tax brackets.