WASHINGTON, D.C. (WSKG) – The U.S. House of Representatives has passed a bill aimed at loosening a controversial part of the 2017 tax law, and New Yorker members of Congress are crossing party lines.
Republican Rep. Tom Reed (NY-23) voted for the 2017 tax law, but he was on the fence because of a provision to cap the amount of state and local taxes that itemized filers could withhold from their federal taxes. States like New York, California and New Jersey where state and local taxes are high and the deduction is more likely to reach the cap implemented in the 2017 law.
Reed is in favor of this bill which would eliminate the cap, he was the lone Republican to vote for it in the Ways and Means Committee. But he still points the finger at the state for having high taxes.
“If you want to have a permanent fix to the state and local tax deduction quagmire,” Reed said. “Fix the state capitals.”
Democrat Rep. Anthony Brindisi (NY-22) is also in favor of eliminating the cap, but he believes it’s unfair to penalize the state, which has more taxes, but also more services.
“We’re subsidizing states that choose not to provide for a sound basic education or other services in their states, so we should not be penalized by that,” he told WSKG.
The bill now moves to the Senate, where it’s not likely to be taken up, but the issue will likely come up again in 2020 congressional races.