High-tax States, principally States run by Progressive-Democrat regimes, don’t like the tax reform’s cap on State and local taxes.
The governors of New York, New Jersey, and Connecticut said on Friday that they would sue the federal government to overturn the new US tax law, saying the measure unconstitutionally discriminates against Democratic-leaning states.
This is just the raw sewage of disparate impact being spread across a tax bill—never mind that the tax reform is uniformly applied across all States, across all businesses and individual taxpayers. Never mind, too, that if some taxpayers, if some taxing jurisdictions, are impacted differently than others, it’s solely a result of the conscious individual, business, and State and local government choices. At least when “disparate impact” is imputed to matters of race, the alleged victims have no choice in their position in the differences alleged.
Bookending (in more than one sense of the term) California’s move to confiscate business’ tax cuts, New York’s Progressive-Democrat governor Andrew Cuomo wants to increase the taxes levied on that State’s citizens by $1 billion. He’s claiming, in all seriousness,
You can’t possibly get anywhere near where you want to be on education and health care unless you raise revenues. It’s just too big a deficit, and the choice of cutting education or cutting health care I don’t think is a place anyone wants to go to this year. So you have to raise revenue.
California wants the Federal tax reform-saved money for itself, and they want a State Constitutional amendment to make the seizure permanent.
A proposed Assembly Constitutional Amendment by Assemblymen Kevin McCarty (D) and Phil Ting (D) would create a tax surcharge on California companies making more than $1 million….
The Progressive-Democrats claim the money would go to “programs that benefit low-income and middle-class families,” but that’s just tear-jerking. The State’s government would divert the monies to favored programs at convenience. That’s minor, though.
Recall the Progressive-Democratic Party-controlled legislature with their Progressive-Democrat governor who run things in California. In response to the just-passed tax reform bill’s capping of state and local tax deductions on the Federal income tax form at $10,000, these worthies have introduced a bill that would create a State-run “charity” foundation into which California citizens could make “donations” and receive a dollar-for-dollar tax credit that they could then apply to their SALT requirements that exceed those $10,000.
Never mind that, as The Wall Street Journal‘s Editorial Board pointed out last Friday,
That’s the position of European Commission President Jean-Claude Juncker. With Great Britain going out from the European Union, Juncker says the remaining nations will have to pony up yet more money “if we are to pursue European policies and fund them adequately[.]”
Currently, the EU budget is capped at 1% of the total of the EU members’ aggregated GDP. However, it’s not enough, though, that the remaining nations will have to fill the large-ish gap created by the British departure. Juncker wants yet more.
Yet, even that “have to fill” bit remains unjustified in any concrete terms.
New York Governor Andrew Cuomo is upset because his enormously high taxes are going to be exposed in all their fiscally painful glory by the just-passed tax reform bill.
We’re going to propose a restructuring of our tax code. I’m not even sure what they [Republicans] did is legally constitutional and that’s something we’re looking at now. You can change the tax code. You can’t penalize my state because of its political affiliation. There’s never been a double taxation before in the history of the nation.
Gerald Seib says that’s what the Progressive-Democrats in Congress fear the Republicans will use them for.
Democrats worry that Republicans will simply use the rising deficits they are creating as an excuse to cut government spending on domestic programs important to Democrats—in the vernacular, that the tax bill will “starve the beast” of the federal government of the money it needs to keep spending at current levels.
I certainly hope those deficits will be used as the reason for cutting government spending. The Federal government spends way too much of our money, and it does so without regard for whose money it is and without regard for the amount of revenue that taxes bring in—deficit spending is enthusiastically pursued regardless of tax rates or revenues.
Senator Joe Manchin (D, WV) seemed, initially, like a center-left Democrat and a man who was capable of bipartisan work when he came on the scene a few short years ago. Recall, for instance, his firm support of our 2nd Amendment and his opposition to much of Obamacare and to then-President Barack Obama’s (D) war on coal.
Now, though, he’s a proud member of the Progressive-Democratic Party’s caucus in the Senate, and the conflict between his claimed values and his voting against the just passed tax reform bill is showing.
As part of the (actually quite minor) snafu wherein the House and Senate passed trivially different versions of the tax reform bill, the Senate’s Parliamentarian ruled that 529 Savings Plans—modified by the tax bill to be usable for K-12 as well as secondary education expenses—cannot be used, on a straight majority vote, for K-12 homeschooling, even though formally schooled K-12 children and their parents can use the Plans. Two icons of Progressive Democracy, Senators Bernie Sanders (I, VT) and Ron Wyden (D, OR), had objected and raised the matter to the Parliamentarian.
The Wall Street Journal asked in their Sunday op-ed how it came to be that
the party of the Kennedy tax cuts of the 1960s and the co-writers of the Reagan reform in the 1980s [became] implacably opposed to pro-growth tax policy?
The WSJ‘s editorialists should know better. This isn’t their (or your or my) grandfather’s Democratic Party. This is the Progressive-Democratic Party of Hillary Clinton, Barack Obama, Chuck Schumer, Elizabeth Warren, Nancy Pelosi, Steny Hoyer, and all of its rank-and-file politico members.