Skip to comments.Baird wants to make sales tax deduction permanent
Posted on 01/28/2005 2:22:09 PM PST by Josef1235
Baird wants to make sales tax deduction permanent
Thursday, January 27, 2005 The Columbian
Congressman Brian Baird, D-Vancouver, will introduce legislation that would extend a two-year tax cut expected to save Washington residents $500 million this year.
Baird announced Wednesday that he and Rep. Kevin Brady, R-Texas, will sponsor legislation so taxpayers in seven states can permanently deduct state and local sales taxes when filing their federal tax returns.
Sen. Maria Cantwell, D-Wash., will introduce companion legislation in the Senate.
Washington lost the deduction when Congress rewrote the tax code in 1986, but taxpayers in Oregon and other states have continued to be able to deduct their state income taxes.
. . .
Congress last year temporarily restored the sales tax deduction as part of a broader package that included $136 billion in tax breaks.
"Making state sales tax deductibility a reality for 2004 and 2005 was a big win for our state, but now we need to make this deduction permanent," Baird said. "This deduction benefits our state's economy in countless ways, and I will continue to work with colleagues on both sides of the aisle to make it permanent."
Seven states levy sales taxes but not income taxes: Alaska, Florida, Nevada, South Dakota, Texas, Washington and Wyoming.
In states that have sales and state income taxes, taxpayers can deduct one or the other from their federal taxes, but not both.
Taxpayers do not have to keep track of how much sales tax they paid during the previous year. The Internal Revenue Service has prepared tables for taxpayers to use in filing their federal returns.
Internet users can find the tables at www.irs.gov/pub /irs-pdf/p600.pdf.
. . .
(Excerpt) Read more at columbian.com ...
Give 'em hell, Baird!
Give 'em hell, Brady!
Go to hell Can'twell! and take Osamma Mamma Murray with you.
Uh-oh! In MN, I'm sure this means they'll have to revise the tax code to make up for the "free" federal giveaway they'll lose from eager taxpayers.
FYI: I'll gladly tie Osama Mama to the stake, too.
I hope not but keep us briefed.
Senator Cantwell's official statement: http://cantwell.senate.gov/news/releases/2005_01_26_salestax.html
Not much argument here...
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.