De Blasio: Without the State Deduction, New Yorkers ‘Subject to Double Taxation’

EXCERPT:

DE BLASIO: “Listen to the trap here. State and local deductibility has been in place since 1913. It has been something agreed upon by Democrats and Republicans throughout. Once it is gone, you will never see it again. So, you start with double taxation for a lot of people, not just New York, New Jersey, but it’s 100 million Americans that will be subject to double taxation immediately. That puts downward pressure on state and local revenue of where we’re going to be having people saying you have to lower taxes and therefore, we can’t provide as much police, fire, schools, et cetera. The second problem is the federal government then at any point can start raising the federal tax rate again. There’s no prohibition. So, you lose the protection for homeowners, for everyday people, for middle class people. This is why in the end a lot of middle class people will see a tax increase, practically speaking, from this plan.”