Times of San Diego: Rep. Levin Leads Call for Congress to End Cap on State and Local Tax Deductions
Rep. Mike Levin led a group of 41 members of Congress from California in calling on President Biden to end the cap on state and local tax deductions.
The Trump administration’s 2017 tax legislation put a $10,000 cap on deductions for state and local taxes — often referred to as SALT — resulting in significantly higher federal tax bills for many California residents.
The cap was viewed by many political observers as punishment for primarily Democratic states with high housing costs and state income taxes.
Levin, who represents north San Diego and south Orange counties, and Reps. Katie Porter from Irvine and Josh Harder from Turlock were the lead signers of a letter sent Thursday urging Biden to end the burden on middle-class taxpayers.
“During the last year in which the SALT deduction was uncapped, more than 3 million families in California with an adjusted gross income below $100,000 claimed the deduction,” they wrote. “For many, these savings were critical to buying a home or putting their children through college.”
The letter argued that “restoring the full SALT deduction is critical to supporting the middle class” as the nation recovers from the pandemic.
“Alongside policies that create good jobs and ensure corporations pay their share, we must restore fairness to the tax code for the middle class by restoring the SALT deduction,” the lawmakers wrote.
By: Chris Jennewein
Source: Times of San Diego