Long Island, NY - November 2, 2017 - Congressman Lee Zeldin (R, NY-1) released the following statement today after the House Tax Reform bill was released: the Tax Cuts and Jobs Act, which would eliminate the State and Local Tax (SALT) deduction in its current form. This proposal would eliminate the current deductibility for state and local income and sales taxes, and cap the current property tax deduction at $10,000.
“I am a No to this bill in its current form. We need to fix this State and Local Tax deduction issue. Adding back in the property tax deduction up to $10,000 is progress, but not enough progress. If I’m not fighting for New Yorkers, I can't expect anyone else from another state to do it for me.
My goal in this tax reform mission is focused on allowing my hard working constituents to save more of their paycheck, reduce their cost of living, and put away more money for retirement. We also need a fairer, simpler tax code that would allow Americans to fill out their tax return on a postcard. Additionally, we need to improve the business climate, by reducing the corporate income tax rate to create more American jobs, bring jobs and businesses back from overseas, and prevent other jobs and businesses from leaving.
I really like many aspects of the current tax reform plan, however, we still have more work to do to get this right, especially with regards to the SALT deduction, which has been in existence for over 100 years. Eliminating the SALT deduction would be a geographic redistribution of wealth, picking winners and losers. New York is a net contributor to the federal coffers with regards to both tax policy and spending policy and that is even with the SALT deduction.
It’s also important to note that the reason why our state and local tax deduction is so high is because our state and local taxes are so high, which is why all levels of government should be working on delivering tax relief. In the meantime, I'm going to fight for my home district and my home state in our nation’s capital.”