SALT Tax Provision Impacting High State Tax Budgets

#1

NorthDallas40

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#1
When I saw this part of the tax plan I wondered if this would result. The 10k cap on state tax exemption is hitting the blue states where it hurts. Good. I’m a fan of getting a tax break for state taxes but always felt there should be limits or it will get abused. And it is abused in CA NY NJ etc...

Looks like people are talking with their feet too! Another reasonable expectation. And my property tax bill shows it too. Our values have been rising by the limit allowed of 10% a year in Collin Co TX which is one of the fastest growing parts of the nation. Oh well I’ll get my payback when we downscale in about 15 years.

GOP's SALT cap may speed exodus from high-tax states, report says | Fox News
 
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#2
#2
When I saw this part of the tax plan I wondered if this would result. The 10k cap on state tax exemption is hitting the blue states where it hurts. Good. I’m a fan of getting a tax break for state taxes but always felt there should be limits or it will get abused. And it is abused in CA NY NJ etc...

Looks like people are talking with their feet too! Another reasonable expectation. And my property tax bill shows it too. Our values have been rising by the limit allowed of 10% a year in Collin Co TX which is one of the fastest growing parts of the nation. Oh well I’ll get my payback when we downscale in about 15 years.

GOP's SALT cap may speed exodus from high-tax states, report says | Fox News

Interesting. Last thing the GOP needs is for us liberals to fan out from our safe spaces on the coasts.
 
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#3
#3
When I saw this part of the tax plan I wondered if this would result. The 10k cap on state tax exemption is hitting the blue states where it hurts. Good. I’m a fan of getting a tax break for state taxes but always felt there should be limits or it will get abused. And it is abused in CA NY NJ etc...

Looks like people are talking with their feet too! Another reasonable expectation. And my property tax bill shows it too. Our values have been rising by the limit allowed of 10% a year in Collin Co TX which is one of the fastest growing parts of the nation. Oh well I’ll get my payback when we downscale in about 15 years.

GOP's SALT cap may speed exodus from high-tax states, report says | Fox News

That's not a good thing IMO, those damn people come down here to escape high taxes and then vote for the same crap that got them high taxes in their old state.
 
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#4
#4
When I saw this part of the tax plan I wondered if this would result. The 10k cap on state tax exemption is hitting the blue states where it hurts. Good. I’m a fan of getting a tax break for state taxes but always felt there should be limits or it will get abused. And it is abused in CA NY NJ etc...

Looks like people are talking with their feet too! Another reasonable expectation. And my property tax bill shows it too. Our values have been rising by the limit allowed of 10% a year in Collin Co TX which is one of the fastest growing parts of the nation. Oh well I’ll get my payback when we downscale in about 15 years.

GOP's SALT cap may speed exodus from high-tax states, report says | Fox News

So low taxes are good except for people you don’t like. Got it
 
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#5
#5
That's not a good thing IMO, those damn people come down here to escape high taxes and then vote for the same crap that got them high taxes in their old state.

I oppose Illogical immigration across state lines.
 
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#7
#7
I’m not worried about TX going blue in my lifetime. At the end of the day I’ve always said people vote their meal ticket. Anybody want to bet me all of these blue voters moving to TX stay blue once they get here? I’ve seen it myself. They don’t. Not all of them. Plus red voters live in those states too and I’d bet they’re the first ones to get fed up and leave.

This is a good thing. It prevents states being able to form policy and divert federal funds to state coffers indiscriminately. Hey if a state wants to tax the hell out if it’s people and they agree to it fine. But no reason a state should be able impact federal funding by doing so.

And this impacts me also. I’ll pay over 10k in property tax this year. But with the other changes I’m still a net lower tax payer by a good chunk.
 
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#9
#9
Riiight..it won't change anything. Outside of major metropolitan areas libtardism is kept in check by reality.

Yep. Blue will go deeper blue. But they’ll have to fund more of their socialism out of their own pockets and not mine and yours.
 
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#10
#10
So low taxes are good except for people you don’t like. Got it
Why should the rest of us subsidize states with high taxes? You want to live in NJ and pay $20k/year in property taxes and 9% (or whatever) state income taxes? Enjoy your great roads and schools. It is the way it should be. You pay for your ****, I'll pay for mine.
 
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#11
#11
I’m not worried about TX going blue in my lifetime. At the end of the day I’ve always said people vote their meal ticket. Anybody want to bet me all of these blue voters moving to TX stay blue once they get here? I’ve seen it myself. They don’t. Not all of them. Plus red voters live in those states too and I’d bet they’re the first ones to get fed up and leave.

This is a good thing. It prevents states being able to form policy and divert federal funds to state coffers indiscriminately. Hey if a state wants to tax the hell out if it’s people and they agree to it fine. But no reason a state should be able impact federal funding by doing so.

And this impacts me also. I’ll pay over 10k in property tax this year. But with the other changes I’m still a net lower tax payer by a good chunk.

Screw that!
 
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#12
#12
Screw that!

Don’t get me started dude. We could pick this house up and move it 20 mi north and be on 10 acres of land in Grayson Co and the exact same property would be worth maybe 2/3 of what it is in Town of Fairview, Collin Co.

That was my plan. My lovely wife had other ideas ... grrrrrrrr
 
#13
#13
Why should the rest of us subsidize states with high taxes? You want to live in NJ and pay $20k/year in property taxes and 9% (or whatever) state income taxes? Enjoy your great roads and schools. It is the way it should be. You pay for your ****, I'll pay for mine.

Higher tax states regularly subsidize lower tax states, and have for awhile.

The SALT deduction was a political weapon against blue states.
 
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#15
#15
Higher tax states regularly subsidize lower tax states, and have for awhile.

The SALT deduction was a political weapon against blue states.
People in NY/NJ/CA pay high state income taxes. They pay high property taxes. They get to deduct those from their federal property taxes. It is their choice to live there. It is their choice to buy a house and pay those high property taxes. Of course I would also eliminate the child tax deduction if I were king as well.

Why should the fed government subsidize any of that?
 
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#17
#17
Don’t get me started dude. We could pick this house up and move it 20 mi north and be on 10 acres of land in Grayson Co and the exact same property would be worth maybe 2/3 of what it is in Town of Fairview, Collin Co.

That was my plan. My lovely wife had other ideas ... grrrrrrrr

My FIL was saying something about people in Austin moving into the hill country and living in rehabbed barns to pay farm tax rates instead of residential.
 
#19
#19
Not a myth. Even with SALT, high tax states like California and NY pay more in to the feds than they take out. Many of the red States take out more than they pay in.
Even if it is true, why should you get to deduct your fair share because you pay high SALT taxes? You have great schools/roads/etc... all LOCAL stuff. Mississippi is the regular butt of jokes from those states because of their education or lack thereof. You get what you pay for. So pay your fair share for the federal government as well.
 
#21
#21
Not a myth. Even with SALT, high tax states like California and NY pay more in to the feds than they take out. Many of the red States take out more than they pay in.

Per capita or gross value?

I just went and did a quick look. CA 1 and TX 2. Per capita a wash between those two. And if people start to move out of those high tax states this is going to shift. I stick by my stance. This is a good thing.

Federal tax revenue by state - Wikipedia
 
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#23
#23
It's a hollow argument even if he can prove it. The cost of living in those states is higher, so wages also tend to run higher. Higher wages = higher taxation. Not my problem living in a low tax state. I will never live in a state with state taxes again. The closest will be Tennessee with the Halls' tax
Regardless they aren't paying their 'fair share' to the federal gov.
 
#24
#24
It's a hollow argument even if he can prove it. The cost of living in those states is higher, so wages also tend to run higher. Higher wages = higher taxation. Not my problem living in a low tax state. I will never live in a state with state taxes again. The closest will be Tennessee with the Halls' tax
Regardless they aren't paying their 'fair share' to the federal gov.

Hall is gone in 2022.
 
#25
#25
It's a hollow argument even if he can prove it. The cost of living in those states is higher, so wages also tend to run higher. Higher wages = higher taxation. Not my problem living in a low tax state. I will never live in a state with state taxes again. The closest will be Tennessee with the Halls' tax
Regardless they aren't paying their 'fair share' to the federal gov.

Agree. And I did look. I’m sure they want to push that mantra but no way it washes. And now it’s moot anyway!!
 

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