In the near past, regardless of the amount, state and local taxes were deductible for the full amount. With the new tax legislation just passed, the limit is $10,000. For many people, that probably doesn't mean anything, but in too many states, that means a pickpocket will now be exposed.
I don't think many people realized how much the federal government funded the sometimes expensive whims of states, and communities. Taxpayers that could, deducted state and local taxes. Those without the burden, didn't have the deduction. They paid more taxes, and were basically helping those with the excessive taxes from becoming completely pissed-off. With the new tax law, some might find the thousands they once deducted will now be a burden they might not be able to afford, and some states are scrambling for relief from what will soon come.
I feel sorry for those impacted by this legislation, but like a boss once said: "I can feel for you, but just can't reach you." The problem is not the new legislation; the problem is out of control political entities and their foolish spending habits. The focus should be on the state and local legislators. I have a feeling that focus will lead to some unkind actions by those so severely impacted by excessive taxes.
I agree. There should be net tax cuts to all, but large cuts in spending would be required - and ain't nobody got time for that.
ReplyDeleteAccording to the Trump Administration, many unnecessary, and oppressive regulations are being removed. That in itself removes some of the bureaucracy, a cut in employees and opens the door for more cuts. My hope is it's a back door way for large cuts in federal spending.
DeleteProperty taxes should be shown to be illegal takings of property.
ReplyDeleteDon't pay, lose your property.
In reality, nobody owns property. The landlords are taxing entities, and failure to pay taxes leads to eviction.
DeleteMy two grown kids work in Cincinnati. They live in a community called Redding. In Redding, the town council decided to subsidize housing for "low income" people. These people are primarily from Nigeria, the middle east, and Latin America. Very few of them are here legally. But how to pay for this ? The township instituted an "income tax". People who live in apartments in the township, like my kids, have to pay the "income tax" so the cockroaches can come live in the apartment complex they live in. It was a nice place, once. Now it's loud music, gun fights in the parking lot, rapes at the garbage dumpsters, and my kids each pay about $1200 a year in township "income tax." Like everybody else who lived there when it wasn't Tijuana North, they are leaving . They are going to Nashville this month.
ReplyDeleteIt's a shame to be chased out of your community.
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