build back better

in this proposed bill there is a major tax cut for the wealthy in the form of increasing the SALT deduction from $10k to $80k.  this $70k increase in deduction would save taxpayers in the 39.6 ( new tax bracket -I think) over $25k.  this is a straight giveaway to the wealthy ( and most members of congress/house).  they are trying to show this bill as paying for itself and they just give more money away-crazy!.  I sent a message to Sen Booker to express my disagreement and suggested the increase be limited to $15k or $20k max which might help some middle class folks.  over a week ago-no reply ( maybe I expect too much)

oots

If nothing else, it's an attempt to buy re-election for Democrats in districts like mine:

https://sherrill.house.gov/media/press-releases/reps-pascrell-suozzi-gottheimer-sherrill-joint-statement-passing-salt-relief

NJ-11 was a long-time Republican district which flipped blue in 2018, thanks in large part to a very well organize local movement (NJ 11 For Change). I wouldn't call this a safely blue district, and expect the SALT issue will be very helpful to Rep. Sherrill in holding her seat.

I don't disagree with your policy point, but think it's worth noting the politics around this too. If you did want to attempt a defense of this on policy, one could argue that with more progressive states like NJ picking up the slack for services that should be, or once were, provided by the federal government, it's fairer for the tax revenue to go to the state rather than being taxed a second time for services not rendered. I'm not sure whether I myself fully buy into that argument -- I'm closer to your POV here -- but it's not a totally meritless point IMO.

Interesting.  Seems like the argument was mainly to NOT limit the SALT deduction.  But there was rarely an argument to limit the MAX amount.  At least none that I recall.  

Bernie Sanders was against a full repeal of the Salt cap, but was willing to compromise on raising that limit. That cap is the main reason why my checks from the IRS turned into checks to the IRS, so I’m happy to see any relief at all on that cap.

The $80,000 is a number that easily can be negotiated down, giving everyone a "win" on all sides.

PVW said:

If nothing else, it's an attempt to buy re-election for Democrats in districts like mine:

https://sherrill.house.gov/media/press-releases/reps-pascrell-suozzi-gottheimer-sherrill-joint-statement-passing-salt-relief

NJ-11 was a long-time Republican district which flipped blue in 2018, thanks in large part to a very well organize local movement (NJ 11 For Change). I wouldn't call this a safely blue district, and expect the SALT issue will be very helpful to Rep. Sherrill in holding her seat.

I don't disagree with your policy point, but think it's worth noting the politics around this too. If you did want to attempt a defense of this on policy, one could argue that with more progressive states like NJ picking up the slack for services that should be, or once were, provided by the federal government, it's fairer for the tax revenue to go to the state rather than being taxed a second time for services not rendered. I'm not sure whether I myself fully buy into that argument -- I'm closer to your POV here -- but it's not a totally meritless point IMO.

thanks for the link - if they are concerned about middle income taxpayers-$25k max salt would handle it.  any thing over that gets you into AMT unless your income is significant.  Probably over $600k