{"id":1444286,"date":"2022-04-18T14:29:35","date_gmt":"2022-04-18T18:29:35","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1444286"},"modified":"2022-04-18T14:29:47","modified_gmt":"2022-04-18T18:29:47","slug":"supreme-court-declines-to-examine-salt-tax-cap-problem-from-states","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/supreme-court-declines-to-examine-salt-tax-cap-problem-from-states\/","title":{"rendered":"Supreme Court Declines TO EXAMINE SALT Tax Cap Problem From States"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fsupreme-court-declines-to-examine-salt-tax-cap-problem-from-states%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1444286&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/dw-wp-production.imgix.net\/2022\/04\/52961519-3B86-40D0-B4D3-DB82277E580F_1_201_a.jpeg?w=1200&#038;h=800&#038;ixlib=react-9.3.0\" class=\"ff-og-image-inserted\" alt=\"image\" \/><\/div>\n<p class=\"p1\">On Monday, the Supreme Court refused to review a challenge brought against a tax deduction limit which was implemented by the Trump administration and has continued through the Biden administration.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">The SALT (state and local tax) cap doesn\u2019t allow people to deduct more than $10,000 of specific state and local taxes from their federal income taxes through 2025.<\/p>\n<p class=\"p1\">As the Tax Foundation <a href=\"https:\/\/taxfoundation.org\/tax-basics\/salt-deduction\/\"><span class=\"s1\">explained<\/span><\/a>, the \u201cdeduction permits taxpayers who\u00a0<span class=\"s2\">itemize<\/span>\u00a0when filing federal taxes to deduct certain taxes paid to state and local governments,\u201d noting that the current cap \u201c[consists] of property taxes plus state income or sales taxes, but not both.\u201d<\/p>\n<p class=\"p1\">The deduction provision was included as a way to increase revenue in the 2017 Tax Cuts and Jobs Act in order to make sure it would not add more than $1.5 trillion to the federal deficit over a 10-year period, a House reconciliation necessity, per <a href=\"https:\/\/thehill.com\/policy\/finance\/3271661-supreme-court-wont-hear-challenge-to-salt-tax-deduction\/\"><span class=\"s1\">The Hill.<\/span><\/a><\/p>\n<p class=\"p1\">New York, Connecticut, New Jersey, and Maryland previously challenged the 2017 policy, calling it an overreach into state\u2019s independent rights.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">In a court filing from March, the states <a href=\"https:\/\/www.foxnews.com\/politics\/scotus-turns-away-salt-cap-challenge\"><span class=\"s1\">said<\/span><\/a>, per Fox News, \u201cCongress\u2019s taxing authority (as set forth in Article I, Section 8 and the Sixteenth Amendment) is cabined by the structural requirements of federalism, which prevent the federal government from directly interfering with the States\u2019 ability to generate revenue to sustain their operations.\u201d<\/p>\n<p class=\"p1\">\u201cThe long history of federal income taxation demonstrates that Congress and the States equally understood that a deduction for all or nearly all state and local property and income taxes was constitutionally required to preserve state sovereign taxing authority,\u201d the filing added.<\/p>\n<p class=\"p1\">Lower courts sided against the states, and decided the deduction was allowed, leading the states to bring the issue to the high court.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">Last month, the Treasury Department weighed in, asking the court to reject the appeal of the states.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">\u201cCongress has acted well within that power both in establishing, and in placing limits on, the deduction for state and local taxes,\u201d the department <a href=\"https:\/\/thehill.com\/policy\/finance\/3271661-supreme-court-wont-hear-challenge-to-salt-tax-deduction\/\"><span class=\"s1\">said<\/span><\/a> in court documents. \u201cAs the courts below observed, no constitutional provision compels Congress to provide any SALT deduction, let alone a deduction of a particular amount.\u201d<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">The SALT tax debate isn\u2019t going away anytime soon.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">As Fox News <a href=\"https:\/\/www.foxnews.com\/politics\/scotus-turns-away-salt-cap-challenge\"><span class=\"s1\">reported<\/span><\/a>, the House passed legislation last year that would bring the cap up to $80,000 until 2031, when it would be limited once again to $10,000. The Senate has not acted on the measure yet, but Senator Bernie Sanders (I-VT) has a plan to limit the tax break according to income levels.<\/p>\n<p class=\"p1\">In November, Sanders spoke out against Democrats\u2019 considerations to get rid of the $10,000 cap.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">In a statement, Sanders <a href=\"https:\/\/thehill.com\/homenews\/senate\/579710-sanders-proposed-five-year-salt-cap-repeal-beyond-unacceptable\/\"><span class=\"s1\">stressed<\/span><\/a> that the potential move by House Democrats at the time would mean \u201cthe top 1% would pay lower taxes after passage of the Build Back Better plan than they did after the Trump tax cut in 2017. This is beyond unacceptable.\u201d<\/p>\n<p class=\"p1\">In the past, Sanders noted that an adjustment to the SALT deduction limit should be centered on helping the middle class.<span class=\"Apple-converted-space\">\u00a0<\/span><\/p>\n<p class=\"p1\">\u201cThere are middle-class families in states where property taxes are very high that are paying a whole lot in state and local taxes. And I think we have to support them,\u201d Sanders reportedly <a href=\"https:\/\/www.sanders.senate.gov\/in-the-news\/sanders-proposed-five-year-salt-cap-repeal-beyond-unacceptable\/\"><span class=\"s1\">said<\/span><\/a> during an interview in June.<\/p>\n<p class=\"p1\">\u201cOn the other hand, if you got some billionaires who own a massive mansion, should they be able to write off their state and local taxes? The answer is no, they should not,\u201d he added.<\/p>\n<p class=\"p1\"><span class=\"s1\"><i>The Daily Wire is one of America\u2019s fastest growing conservative media companies for breaking news, investigative reporting, sports, podcasts, in-depth analysis, books, and entertainment for a reason: because we believe in what we do. We believe in our country, in the value of truth and the freedom to speak it, and in the right to challenge tyranny wherever we see it. Believe the same? <\/i><a href=\"https:\/\/www.dailywire.com\/subscribe\"><span class=\"s2\"><i>Become a member now and join our mission.<\/i><\/span><\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On Monday, the Supreme Court refused to review a challenge brought against a tax deduction limit which was implemented by the Trump administration and has continued through the Biden administration.\u00a0The<\/p>\n","protected":false},"author":95,"featured_media":1444307,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1444286","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1444286","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1444286"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1444286\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1444307"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1444286"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1444286"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1444286"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}