Skip to comments.Three States to Sue over New Tax Law [semi-satire]
Posted on 01/29/2018 9:53:43 AM PST by John Semmens
New York Democratic Gov. Andrew Cuomo announced that his state, New Jersey and Connecticut will be suing the federal government because the new tax law impedes our ability to extract the maximum amount of revenue from the taxpayers. The impediment comes from the clause in the Tax Cuts and Jobs Act that limits the deductibility of state and local taxes to a mere $10,000 per taxpayer per year.
The three states rank at the top of the list for heaviest tax burden as a percent of income with New York at 12.7%, Connecticut at 12.6% and New Jersey at 12.2%. The states also rank high in terms of household median income. But hey, isnt having the rich pay more in taxes the constant refrain of Democratic politicians whenever the issue is brought up?
Cuomo maintains that the state tax burden had been partially offset by the old federal tax code that allowed for lower tax states to pay a larger share of the federal tax burden than they otherwise would have. This was fair because these other states have lower state tax burdens, and thus, more money available to send to the federal government. Suddenly changing the rules like Congress and President Trump did was unfair. Our states have grown dependent on being able to shift the burden. Cutting us off is like throwing a family off of food stamps or out of public housing. Its an intolerable shock to the system.
Aside from the lawsuit, Cuomo says his state is considering switching from an income tax to a payroll tax. First, payroll taxes are deductible from federal taxes, he pointed out. Second, this will give a break to the high-income donors from Wall Street who donate the majority of the funds state Democrats receive for their election campaigns.
In related news, California Assembly Majority Leader Ian Calderon (D-Whittier) has introduced a bill that would subject waiters who give customers a drinking straw without being asked to a fine of up to $1,000 per straw, up to six months in prison, or both. Plastic straws have been raping our environment for far too long, Calderone claims. Waiters are in a position to ameliorate this degradation if they take a more active role in deterring the over use of these weapons of mass desecration. My bill will provide a little more incentive for them to act more aggressively and responsibly.
if you missed any of this week's other semi-news/semi-satire posts you can find them at...
Tax fraud is a felony
so these three states are really suing the other states to subsidize their crazy agenda.
Ok Andy Boy. Stop blaming others for NY States criminal tax gouging. Either lower them to keep in line with responsible states or risk an even greater exodus.
Wait. Wasn’t it unequal protection to give tax deductions for taxes paid to states vs states that didnt? What is their constitutional claim now? Are we not treated equally — no deduction for state income tax. We are all the same. Totally constitutional. I want them to pay attorney fees to the federal government as sanctions!!!
This was posted as a breaking news item on marketwatch.com last week for a brief time.
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