GOP says lower-tax states are subsidizing California. It's the other way around
The main Republican argument for killing the state and local tax deduction is that the break forces residents of low-tax states to subsidize those in California and other high-tax states.
But when it comes to federal taxes, the data show that its the other way around. And it could get worse for Californians if the deduction is eliminated as part of the GOP tax overhaul.
California is among 13 states that ship more tax money to Washington than they get back in federal spending, according to the Rockefeller Institute of Government, a public policy think tank in Albany, N.Y.
Theyre known as donor states, a title California has held for years, mostly because of the states relatively younger population and large number of high-income earners.
http://www.latimes.com/business/la-fi-state-local-tax-subsidy-20171029-story.html