11 days until SALT Strikes Again

[william the wie]

A partial SALT relief for this year and attempts to increase taxes in CA and most of the northeast will push the tax base flight.

 

[Gdjjr]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

 

[Dekster]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

State and Local Tax (SALT) deductibility caps are the bane of over-priced real estate owners in Big Blue cities.

 

[william the wie]

State And Local Tax (SALT) tax deduction cap. SALT speeds up migration out of high tax states.

 

[Harpy Eagle]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

State and Local Tax (SALT) deductibility caps are the bane of over-priced real estate owners in Big Blue cities.

Because there is not over-priced real estate in Red states/cities

 

[Dekster]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

State and Local Tax (SALT) deductibility caps are the bane of over-priced real estate owners in Big Blue cities.

Because there is not over-priced real estate in Red states/cities

They don't come with exorbitant tax burdens like they do in blue states

 

[william the wie]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

State and Local Tax (SALT) deductibility caps are the bane of over-priced real estate owners in Big Blue cities.

Another biggie is the Yacht docking fees. I kid you not this is a huge revenue generator.

 

[Gdjjr]

What do any of these replies have to do with Strategic Arms Limit Talks?

That is a nuclear arms agreement- good lord!

 

[CWayne]

What do any of these replies have to do with Strategic Arms Limit Talks?

That is a nuclear arms agreement- good lord!

Post Number 3.

 

[william the wie]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

State and Local Tax (SALT) deductibility caps are the bane of over-priced real estate owners in Big Blue cities.

Because there is not over-priced real estate in Red states/cities

They don't come with exorbitant tax burdens like they do in blue states

five miles west of where I live I could swap my existing 3 bed 1.5 bath house for a mansion and pay my current barely 4 figure tax bill.

 

[Gdjjr]

Post Number 3.

Like I said- I'm old- Strategic Arms Limit Talks.

 

[DOTR]

It’s the way rich liberals shifted their tax burden to the rest of us. The bigger the tax bill of a California or New York mansion the bigger the Federal Income Tax bill of an apartment dweller in Sioux City or Dallas.
Bicoastal liberals have forgotten how to fund and pay for their own soda straw bans and green building codes. They are used to just deducting from the country’s revenues.
Boy did they scream from their Hamptons sitting rooms when they found out they had to pay some of their own taxes.

 

[CWayne]

Post Number 3.

Like I said- I'm old- Strategic Arms Limit Talks.

Old or not, acronyms can be made for anything. The context of this discussion is State And Local Taxes (SALT).

It is that time of year when Democrats complain about the rich paying more in taxes.

 

[Ringel05]

State And Local Tax (SALT) tax deduction cap. SALT speeds up migration out of high tax states.

Just goes to show you that using acronyms can sometimes confuse people, I also know SALT as the Strategic Arms Limit Agreement.

 

[Bob Blaylock]

It’s the way rich liberals shifted their tax burden to the rest of us. The bigger the tax bill of a California or New York mansion the bigger the Federal Income Tax bill of an apartment dweller in Sioux City or Dallas.
Bicoastal liberals have forgotten how to fund and pay for their own soda straw bans and green building codes. They are used to just deducting from the country’s revenues.
Boy did they scream from their Hamptons sitting rooms when they found out they had to pay some of their own taxes.

To be more clear about what the issue actually is…

For a very long time, a significant portion of State and local taxes (SALT) was deductible from one's federal income tax. This meant that a state could tax its residents at a significantly higher rate than other states, and this higher tax would be partially subsidized by the federal government so that the residents of that state wouldn't feel the higher taxes quite so strongly. A significant share of a highly-taxed state's burden on its residents would be passed along to the residents of lower-taxed states.

One of President Trump's tax reforms from a few years ago was to put tighter limits on the deductibility of SALTs, meaning that if one state is going to tax its residents more heavily than another state, then the residents of that higher-taxed state are actually going to feel more of the burden of this higher taxation.

To me, this seems only fair. In fact, it'd seem most fair to me if SALTs were not deductible at all from federal taxes. And I say this,being a resident of one of the most extreme, excessively overtaxed states in the country. Perhaps if my fellow Californians felt more of the financial burden created by our corrupt, wasteful, greedy state government, they'd be a lot less tolerant of it; and in any case, it's really not fair at all to make the residents of other states bear any of the burden that is gratuitously created by our own state government.

 

[Bob Blaylock]

I'm old, I thought SALT was Strategic Arms Limit Agreement- what does that have to do with taxes in Ca and the NE?

What do any of these replies have to do with Strategic Arms Limit Talks?

That is a nuclear arms agreement- good lord!

Like I said- I'm old- Strategic Arms Limit Talks.

Just goes to show you that using acronyms can sometimes confuse people, I also know SALT as the Strategic Arms Limit Agreement.

I'm that old, too.

 

[rightwinger]

What do any of these replies have to do with Strategic Arms Limit Talks?

That is a nuclear arms agreement- good lord!

It is also placed in a shaker on your kitchen table

 

[JWBooth]

Angelina Jolie’s movie?

 

[JWBooth]

When put like that I am in agreement with permanent elimination of the deduction.

 

[colfax_m]

It’s the way rich liberals shifted their tax burden to the rest of us. The bigger the tax bill of a California or New York mansion the bigger the Federal Income Tax bill of an apartment dweller in Sioux City or Dallas.
Bicoastal liberals have forgotten how to fund and pay for their own soda straw bans and green building codes. They are used to just deducting from the country’s revenues.
Boy did they scream from their Hamptons sitting rooms when they found out they had to pay some of their own taxes.

To be more clear about what the issue actually is…

For a very long time, a significant portion of State and local taxes (SALT) was deductible from one's federal income tax. This meant that a state could tax its residents at a significantly higher rate than other states, and this higher tax would be partially subsidized by the federal government so that the residents of that state wouldn't feel the higher taxes quite so strongly. A significant share of a highly-taxed state's burden on its residents would be passed along to the residents of lower-taxed states.

One of President Trump's tax reforms from a few years ago was to put tighter limits on the deductibility of SALTs, meaning that if one state is going to tax its residents more heavily than another state, then the residents of that higher-taxed state are actually going to feel more of the burden of this higher taxation.

To me, this seems only fair. In fact, it'd seem most fair to me if SALTs were not deductible at all from federal taxes. And I say this,being a resident of one of the most extreme, excessively overtaxed states in the country. Perhaps if my fellow Californians felt more of the financial burden created by our corrupt, wasteful, greedy state government, they'd be a lot less tolerant of it; and in any case, it's really not fair at all to make the residents of other states bear any of the burden that is gratuitously created by our own state government.

Rich, high tax states such as California and New York contribute far more to the federal government tax revenues even with the SALT deduction.

What SALT limitations really did was to limit the benefit of donating to charity for the vast majority of Americans since so few people itemize now.