Please ensure Javascript is enabled for purposes of website accessibility

Trump Says No Summit Deal With Putin Over Ukraine War, Talks Were ‘Very Productive’

3 days ago

Madera County Man Arrested in Fatal Crash Case

3 days ago

Man Fleeing an Immigration Raid Dies After Running Onto LA Freeway

3 days ago

Kevin McCarthy, Redistricting Commission’s Popularity Stand in Newsom’s Way

3 days ago

California Man Safe After High-Tech Rescue From Behind Sequoia Waterfall

3 days ago

California Legislature’s Final Weeks Could Decide Delta Water Tunnel’s Fate

3 days ago

US Consumer Sentiment Weakens in August, Inflation Expectations Rise

3 days ago

Trump Names Rosner as Chair of Energy Regulator

4 days ago
Will Biden Give Californians Some Tax Relief?
gvw_ap_news
By Associated Press
Published 4 years ago on
April 5, 2021

Share

Seven Democratic governors called on President Joe Biden to lift the $10,000 cap on state and local tax deductions Friday that was a part of former President Donald Trump’s massive 2017 tax law, arguing the “assault” disproportionately targeted Democratic-run states and ultimately increased taxes on families.

The letter comes a little more than a week after U.S. Treasury Secretary Janet Yellen agreed to work with Congress on a way to remedy the “inequities” the cap has caused.

The governors of Connecticut, New Jersey, California, Hawaii, Illinois, New York, and Oregon spelled out in a two-page letter how their constituents are paying billions of dollars annually in additional taxes to the federal government. It’s roughly $12 billion more in California and in New York; approximately $3 billion in New Jersey; $370 million in Hawaii, and $1.3 billion in Connecticut, which pays more into the federal government while receiving back less per capita than any other state, according to the letter.

“This assault disproportionately targeted Democratic-run states, increasing taxes on hardworking families,” the letter reads. “This was unacceptable then, and is simply untenable given the dire economic conditions caused by the pandemic.”

Yellen: Deductions Cap Is ‘Double Taxation’

The governors said they were heartened to hear Yellen’s willingness to work with Congress to someone ease the impact of the $10,000 cap and urged Biden’s administration and Congress “to continue these efforts to relieve this immense financial burden on our residents and eliminate the SALT cap entirely.”

Yellen gave the governors some hope earlier this month when she responded to a question from New Jersey U.S. Rep. Josh S. Gottheimer, a Democrat, during a March 23 hearing before the House Financial Services Committee. Gottheimer asked if the Biden administration would support eliminating the SALT cap and reinstating the popular tax deductions for state and local taxes, calling the current situation a “misguided policy of double taxation.”

Yellen said she agreed the cap has led to “disparate treatment,” but did not commit to eliminating it entirely.

“There are a lot of options that have been presented,” she said, noting that in addition to a bipartisan proposal to remove the cap, Biden has discussed possibly capping itemized deductions at 28%.

“The caps could be increased,” she said during the hearing. “ So I think we need to study just what impact it’s had and (I) look forward to working with you to find a fair way to address it.”

DON'T MISS

What Are Fresno Real Estate Experts Predicting for 2025 and Beyond?

DON'T MISS

First California EV Mandates Hit Automakers This Year. Most Are Not Even Close

DON'T MISS

Wall Street Muted as Investors Focus on Retail Earnings, Jackson Hole Summit

DON'T MISS

Trump Vows to Target Mail-in Ballots Ahead of 2026 Midterm Election

DON'T MISS

Fresno County Authorities Seek Public’s Help to Find Missing Elderly Man

DON'T MISS

Thousands of Palestinians Leave Gaza City Fearing Israeli Offensive

DON'T MISS

What to Know About Russia-US-Ukraine Peace Talks

DON'T MISS

Hamas Rejects Israel’s Gaza Relocation Plan

DON'T MISS

Global Markets Face Shaky Week Ahead as US Pressure Mounts on Ukraine

DON'T MISS

Israel Says It Targeted Energy Infrastructure Site Used by Houthis Near Yemeni Capital

DON'T MISS

Erin Downgraded to Category 3 Hurricane, NHC Says

DON'T MISS

Actor Terence Stamp, Star of Superman Films, Dies Aged 87

UP NEXT

Kevin McCarthy, Redistricting Commission’s Popularity Stand in Newsom’s Way

UP NEXT

California Coastal Commission Opposes SpaceX Launch Expansion on West Coast, Again

UP NEXT

DOJ Sues California to End Enforcement of Emissions Standards for Trucks

UP NEXT

Barry Bonds Beats the Babe! Statistical Model Crowns a New ‘Greatest’ in Baseball

UP NEXT

Californians to Vote on Mid-Decade Redistricting in November, Newsom Says

UP NEXT

California’s Newest Invaders Are Beautiful Swans. Should Hunters Kill Them? 

UP NEXT

Why Young Americans Dread Turning 26: Health Insurance Chaos

UP NEXT

Federal Judge Orders Trump Admin to Restore Hundreds of UCLA Research Grants

UP NEXT

California Says Trump Sent Military to ‘Silence’ LA Protests

UP NEXT

Hidden in Trump’s Spending Package Is a Boost to CA’s Affordable Housing

Thousands of Palestinians Leave Gaza City Fearing Israeli Offensive

47 minutes ago

What to Know About Russia-US-Ukraine Peace Talks

18 hours ago

Hamas Rejects Israel’s Gaza Relocation Plan

18 hours ago

Global Markets Face Shaky Week Ahead as US Pressure Mounts on Ukraine

18 hours ago

Israel Says It Targeted Energy Infrastructure Site Used by Houthis Near Yemeni Capital

18 hours ago

Erin Downgraded to Category 3 Hurricane, NHC Says

18 hours ago

Actor Terence Stamp, Star of Superman Films, Dies Aged 87

18 hours ago

What Can MLB Learn From the Savannah Bananas? A Lot, It Turns Out.

1 day ago

How Do We Bridge America’s New Segregation?

2 days ago

Micky MaKenzie, Bold Pup With a Big Heart, Ready for a New Home

2 days ago

Wall Street Muted as Investors Focus on Retail Earnings, Jackson Hole Summit

Wall Street’s main indexes were subdued on Monday, in a quiet start to a week packed with corporate earnings reports from major retail...

32 minutes ago

Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., July 15, 2025. (Reuters File)
32 minutes ago

Wall Street Muted as Investors Focus on Retail Earnings, Jackson Hole Summit

Workers process mail ballots at the Los Angeles County Ballot Processing Center in the city of Industry, California, U.S. October 29, 2024. (Reuters File)
40 minutes ago

Trump Vows to Target Mail-in Ballots Ahead of 2026 Midterm Election

Fresno County authorities are searching for Ramiro Ortiz, 79, who walked away from a medical care facility late Friday, August 15, 2025, and has not been found. (Fresno County SO)
43 minutes ago

Fresno County Authorities Seek Public’s Help to Find Missing Elderly Man

Displaced Palestinians fleeing northern Gaza travel in a vehicle while they head south as the Israeli military prepares to relocate residents to the southern part of the enclave, in Gaza City, August 18, 2025. (Reuters/Mahmoud Issa)
47 minutes ago

Thousands of Palestinians Leave Gaza City Fearing Israeli Offensive

President Trump walks with Russian President Vladimir Putin as Putin arrives as Joint Base Elmendorf Richardson in Anchorage, Alaska, where the two leaders will hold a meetings to end the war in Ukraine, Friday, Aug, 15, 2025. The president of Ukraine and his European allies are to visit the White House on Monday, after President Trump backed Russia’s plan to end the war. (Doug Mills/The New York Times)
18 hours ago

What to Know About Russia-US-Ukraine Peace Talks

Jordanian military personnel airdrop aid parcels over Gaza, August 17, 2025. (Reuters/Alaa Al Sukhni)
18 hours ago

Hamas Rejects Israel’s Gaza Relocation Plan

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, August 1, 2025. (Reuters File)
18 hours ago

Global Markets Face Shaky Week Ahead as US Pressure Mounts on Ukraine

A worker walks at the Hiziaz power station after it was attacked by Israeli missile strikes in Sanaa, Yemen August 17, 2025. (Reuters/Khaled Abdullah)
18 hours ago

Israel Says It Targeted Energy Infrastructure Site Used by Houthis Near Yemeni Capital

Search

Help continue the work that gets you the news that matters most.

Send this to a friend