Taxes and Caps

Howard Gleckman, Senior Fellow at the Tax Policy Center, wants the $10,000 cap on the federal deduction for state and local taxes repealed.  After all, he worries [emphasis added],

what will happen to state budgets if high-income residents resist tax increases that are now less subsidized by the federal revenue code[?]

Further, Gleckman is arguing,

restoring the old distortion “may indirectly benefit low- and moderate-income households” by propping up state spending.

Because it’s a Good Thing for State governments to keep taking their citizens’ money away from them and spending it for them.  It’s a Good Thing for State governments to continue spending heavily and crowding out private enterprises by consuming resources and accesses to money that would be better and more efficiently used by those States’ citizens and their private enterprises.

Remember this, next month.

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