States sue U.S. to void state and local tax deduction cap
Source: Reuters
NEW YORK (Reuters) - Four U.S. states sued the federal government on Tuesday to void the new $10,000 cap on federal deductions for state and local taxes included in President Donald Trumps 2017 tax overhaul.
The lawsuit by New York, Connecticut, Maryland and New Jersey came seven months after Trump signed the $1.5 trillion overhaul passed by the Republican-led Congress, which cut taxes for wealthy Americans and slashed the corporate tax rate.
Critics have said the cap would disproportionately harm blue states that tilt Democratic.
Tuesdays lawsuit adds to the many legal battles between such states, including several with high taxes, and the Trump administration, which was accused of unconstitutionally intruding on state sovereignty by imposing the cap.
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U.S. JULY 17, 2018 / 10:09 AM / UPDATED 6 HOURS AGO
Jonathan Stempel
4 MIN READ
Read more: https://www.reuters.com/article/us-usa-taxes-lawsuit/states-sue-u-s-to-void-state-and-local-tax-deduction-cap-idUSKBN1K71PO
PoliticAverse
(26,366 posts)and are constitutional.
beachbum bob
(10,437 posts)7962
(11,841 posts)Just seems like no "standing"
MichMan
(11,790 posts)
...disproportionally affects some states more than others?
Every tax law will not affect all states exactly the same depending on the demographics of the residents.