Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News Editorials & Other Articles General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

Latest Breaking News

cinematicdiversions

(1,969 posts)

30. TX has almost NJ levels of property taxes.

Reply to berni_mccoy (Reply #21)

Wed Sep 15, 2021, 04:11 PM

Sep 2021

Texas has a large upper middle class with expensive properties which is the primary target of the tax.

The SALT deduction tends to benefit states with many higher-earners and higher state taxes. This was true prior to the SALT deduction cap and remained the case in 2018. Seven states—California, New York, Texas, New Jersey, Maryland, Illinois, and Florida—claimed more than half of the value of all SALT deductions nationwide in 2018.

https://taxfoundation.org/salt-deduction-salt-cap-repeal/

The SALT deduction helps the wealthy, so states with large amounts of wealthy are hurt more than states without such a burden.

Edit history

Please sign in to view edit histories.

Recommendations

0 members have recommended this reply (displayed in chronological order):

33 replies

= new reply since forum marked as read

Highlight:

House Democrats promise 'meaningful' relief for state and local tax deduction cap [View all] Calista241 Sep 2021 OP

This Is An Important Reform smb Sep 2021 #1

The SALT cap was a blue state punishment berni_mccoy Sep 2021 #2

It's a cap on tax deductions for rich people. Calista241 Sep 2021 #3

Rich people already pay little to no SALT. berni_mccoy Sep 2021 #4

+1 OneCrazyDiamond Sep 2021 #5

It's a punishment for people in blue states Freddie Sep 2021 #8

It's a cap on the tax deductions of middle class homeowners in blue states . N/T lapucelle Sep 2021 #10

If you pay more than $10k in property tax per year, you are very high up in the middle class Calista241 Sep 2021 #13

The "problem" BumRushDaShow Sep 2021 #17

That's not true where I live on Long Island. N/T lapucelle Sep 2021 #23

Because it's a cap on middle class families as well, some of which are barely middle class. There's KPN Sep 2021 #18

First of all TX was one of the biggest victims of the cap. cinematicdiversions Sep 2021 #14

Texas has no state income tax and the state takes more berni_mccoy Sep 2021 #21

TX has almost NJ levels of property taxes. cinematicdiversions Sep 2021 #30

That cuts both ways FBaggins Sep 2021 #20

It's easy to prevent the benefit from being too skewed to the wealthiest... thesquanderer Sep 2021 #6

Or the cap could be based on their income berni_mccoy Sep 2021 #7

THIS BumRushDaShow Sep 2021 #9

Get rid of all deductions. twodogsbarking Sep 2021 #11

As a working person who pays plenty of state and federal taxes, no way. We need deductions berni_mccoy Sep 2021 #12

It is true you are taxed twice, but OneCrazyDiamond Sep 2021 #15

Most people easily hit that in MA berni_mccoy Sep 2021 #16

Most people if MA easily hit that? OneCrazyDiamond Sep 2021 #25

Yes. Two people with combined income of 100k berni_mccoy Sep 2021 #27

Two people with a six figure income should pay more taxes. cinematicdiversions Sep 2021 #31

In that scenario I would take the standard deduction. OneCrazyDiamond Sep 2021 #32

In the city of Philadelphia BumRushDaShow Sep 2021 #19

You guys don't have a progressive rate? OneCrazyDiamond Sep 2021 #26

Most state income taxes are flat, yes. And you must factor in berni_mccoy Sep 2021 #28

No progressive rates BumRushDaShow Sep 2021 #29

I guess the rich will get their tax cut. PoliticAverse Sep 2021 #22

I don't think they will end up with a "full repeal" BumRushDaShow Sep 2021 #24

Plus forgiveness of college loans? cinematicdiversions Sep 2021 #33