Democrats to push tax break for the rich

Washington Times:

They criticized President Trump’s tax cut bill as a giveaway to the rich, but now congressional Democrats are eyeing their own $620 billion tax break that would go heavily to wealthier Americans.

As they prepare to take control of the House, one high priority for Democrats from northeastern states is to look at rolling back the $10,000 limit on state and local tax deductions included in the Republicans’ 2017 overhaul of the federal tax system.

But analysts say repealing the state and local tax limit is worth just dollars to the average middle-class taxpayer. For the wealthy, though, the proposal could lower tax bills by tens of thousands of dollars.

The Tax Policy Center recently found that more than 96 percent of the tax cuts that would come from repealing the cap would go to the top 20 percent of households in terms of income.

The left-leaning Institute on Taxation and Economic Policy concluded this month that 63 percent of the tax benefits that would result from axing the cap would go to the richest 1 percent of taxpayers.

Democrats say those wealthy folks deserve some relief and argue that they were targeted because they live in high-tax states where most voters are Democrats.
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What this tax break is really about is greedy state and local governments in blue states who want to tax the rich more and get the rest of America to pay for it.   It is a sop to Democrats officials who can't control their spending on the state and local level.