A group of seven Democratic governors adds to calls within the party, urging President Biden to pull the Trump-era hat off. State and local tax (SALT) deductions.
In sent a letter to the White House on Friday the governors, including those of New York Andrew Cuomo
Andrew CuomoNYPD memo tells agents not to stop New Yorkers from smoking marijuana in public. Will vaccine passports be the biggest campaign issue of 2022? Cuomo book deal negotiations overlapped with death toll from nursing homes in hiding: report MORE, California Gavin Newsom
Gavin NewsomSuspect California shooting had victims: Police Steyer say he has ‘no plans’ to return to public office Trump Jr., Kimberly Guilfoyle buys M house near Mar-a-Lago MORE and Phil Murphy of New Jersey, wrote that while the government has already “taken incredible steps to ease the burden of more than a year of uncertainty caused by a global pandemic,” more needs to be done to boost economic recovery.
“We must go further and undo the limit imposed by the Trump Administration on state and local tax (SALT) deductions through the Tax Cuts and Jobs Act in 2017,” the governors argued.
The rule, which was introduced by former President Trump
Donald Trump White House Says Bills Are Bipartisan Even If GOP Don’t Vote for Them Gaetz Bragged About “ Access ” to Women Through Florida Tax Collector Indicted in Federal Case: Trump Report Calls for Boycott of MLB for Relocating All-Star Game MORE To help offset some of his tax cuts, the SALT deduction limits to $ 10,000. Lawmakers from highly-taxed, democratic-leaning states have long smashed their caps and urged them to roll them back.
The governors argued Friday, “For the first time since Abraham Lincoln created federal income tax, the limit on SALT deductions created a system of double taxation, whereby 11 million Americans were forced to pay tax on the amount paid. they paid in the state, locally. and real estate taxes, amounting to $ 670 billion in a decade. “
“Like so many of President Trump’s efforts, the masking of SALT deductions was based on politics, not logic or good governance,” they claimed. “This attack disproportionately targeted democratically-run states, increasing taxes on hardworking families.”
“This was unacceptable at the time, and is simply unsustainable given the dire economic conditions created by the pandemic,” added the governors.
The Democrats said that while it was “encouraging to hear Treasury Secretary Yellen agree to work with Congress to ease the $ 10,000 limit on SALT recently,” the Biden administration and members of Congress “said this. continue efforts to alleviate this immense financial burden on our residents. and remove the SALT cap completely. ”
The joint letter was also signed by governments. Ned Lamont (Conn.), JB Pritzker (Ill.), Kate Brown
Kate Brown Oregon Governor Issues Executive Order to Reopen Schools Oregon Governor orders schools to reopen by April 19 Colorado government Jared Polis engaged to longtime partner Marlon Reis MORE (Ore.) And David Ige (Hawaii).
A growing number of Democrats are trying to pressure Biden to revoke the limit on SALT deductions, including House members who have. threatened to hold back support of Biden’s $ 3 trillion infrastructure proposal if the limit is not lifted.
On Tuesday, Democratic representatives Thomas Suozzi (NY), Bill Pascrell
William (Bill) James Pascrell Daily Poster Founder Discusses Conservative Dems Strategies to Influence Biden Pelosi ‘Hopefully’ Democrats May Reform SALT Tax in Biden Infrastructure Law Biden Puts Capitol Hill Toward Spending and Taxation MORE (NJ) and Josh Gottheimer
Joshua (Josh) GottheimerDaily Poster Founder Discusses Conservative Dems Strategies to Influence Biden Pelosi ‘Hopefully’ Democrats May Reform SALT Taxes in Biden Infrastructure Law Biden Puts Capitol Hill Toward Spending and Taxes MORE (NJ) has issued a joint statement pledging to oppose attempts to change the tax code unless the SALT deduction is restored.
House speaker Nancy Pelosi
Nancy Pelosi Pelosi and Schumer speak to family of officer killed in Capitol attack Republicans quietly say Gaetz’s days in Congress are numbered Officer killed in vehicle attack on Capitol MORE (D-Calif.) On Thursday optimism about incorporating tax law reforms into Biden’s infrastructure package, even though she no longer drew a red line.
Pelosi said during a press call, “Hopefully we can get it in the bill. I’ll never give up hope for something like that. [that] means so much to the American people. “