Coronavirus stimulus bill, Covid, debt, Federal taxes, Florida, Heroes Act, Heros act, HR6800, NYC TAXES, SALT deduction, state and local taxes, Tax cuts for the rich, tax deduction, Trump, Trump taxes
Excellent 7 minute video about the bill that Pelosi and Schumer were so anxious to ram through that they refused reasonable compromise: “Huge TAX CUT for the Rich HIDDEN in the New Stimulus Bill – HEROS Act” https://youtu.be/3FuGjg1ehIQ
p. 224: https://docs.house.gov/billsthisweek/20200511/BILLS-116hr6800ih.pdf
Because Donald Trump paid city and state taxes in NYC, he would have been eligible for large tax deductions from this fact alone, prior to the new $10,000 cap on state and local tax deductions. The Dem wits complain that he paid little Federal taxes, but want to allow other well off and rich people to get their deductions. Notice that Trump is now a Florida resident. Pelosi and Schumer are from jurisdictions with high state and local taxes.
The Democrats want to repeal the $10,000 deduction limit:
“Table 4 presents a distributional analysis for 2019 of a proposal to repeal the $10,000 limitation on the deduction for State and local taxes beginning in 2019. The repeal is estimated to result in a decrease in tax liability for 13.1 million taxpayers, 94 percent of which have $100,000 or more of economic income. Additionally, approximately 99 percent of the decrease in tax liability accrues to taxpayers with $100,000 or more of economic income… ” https://www.jct.gov/publications.html?func=download&id=5206&chk=5206&no_html=1 Repealing the State and Local Taxes Federal Tax deduction (SALT) cap, as proposed by the Democrats, would decrease federal revenues by $77.4 billion (2019 est.), according to Table 4, at the above jct.gov link.