Tags: salt | deductions | state | local | tax | gop

SALT Deductions Remain Potential Albatross for GOP

SALT Deductions Remain Potential Albatross for GOP
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By    |   Friday, 27 October 2017 08:55 AM

Republicans still have not solved the state and local tax (SALT) deduction issue that nearly sank the budget vote earlier this week and could pose problems for tax reform next week, Fox Business reports. 

The 11th-hour nail-biting over the $4 trillion budget vote, which barely passed 216-212, stems from the 20 Republicans who voted no because leadership and the White House want to slash the writeoff used by millions in high-tax blue states as an offset for widespread tax cuts.

Getting rid of the deduction, which would affect 30 percent of all taxpayers, would produce $1.3 trillion in revenues over 10 years, Fox Business reports.

Ways and Means Committee chairman Kevin Brady is not a popular guy with blue-state Republicans after Brady, the House's chief taxwriter, still had no proposal to put on the table for a scheduled Wednesday meeting, Fox Business reports.

"My first reaction when he said this was, 'Kevin we’ve been talking about this for 11 weeks.’ My second reaction was, 'Don’t waste our time for the meeting if you don’t have anything to suggest.' That’s when they decided to call off the meeting. Consequentially, I then voted against the budget," Rep. Tom MacArthur, R-NJ, told Fox Business.

Brady has maintained that a solution will be reached before the tax bill and its details are unveiled next week.

That could come in the form of a property tax credit.

"What has gained momentum is the one I’ve liked, and that’s a targeted property credit to the working folks," Rep. Tom Reed, R-NY, told Fox Business. "Those making anywhere up to $400,000 or as low as $200,000 would receive a credit that would go dollar for dollar to your tax itemized tax bill."

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Republicans still have not solved the state and local tax (SALT) deduction issue that nearly sank the budget vote earlier this week and could pose problems for tax reform next week, Fox Business reports.
salt, deductions, state, local, tax, gop
287
2017-55-27
Friday, 27 October 2017 08:55 AM
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