New Yorkers face a $15 billion net increase in their federal income tax bills if House speaker Paul Ryan’s plan to scrap a key deduction is enacted, according to an estimate by Gov. Andrew Cuomo’s administration, The Real Deal reports.
Ryan has proposed eliminating a rule that allows individuals to deduct state and city taxes, including real estate taxes, from their federal tax bill. The change would affect all 50 states, but would disproportionately hit California and New York because of their large populations and high state and city taxes. New York accounted for 13.2 percent of all deductions claimed in 2013, second only to California (19 percent) and well ahead of New Jersey (5.9 percent) in third place. New Yorkers claimed $68 billion in state and local tax deductions that year.
{Matzav.com}
