California tried to break the rules, so the President turned the tables on them.
Leave it to California to ruin things for everybody.
Most of America is thriving, thanks to Trump’s MAGA agenda. Americans of all stripes are enjoying new job opportunity, increased pay, and fewer taxes.
Even liberal states are seeing things improve. Except in California, where the super-liberal government is trying to destroy Trump’s progress.
They tried to create a loophole that would allow them to cheat the federal government. It would have undermined Trump’s plans and hurt our country nationwide.
But they just got from bad news, care of Mnuchin.
The U.S. Treasury Department issued proposed rules on Thursday to nix California’s scheme to avoid the new $10,000 limit on state and local tax deductions by claiming taxes are charitable donations.
But Treasury Secretary Steven T. Mnuchin released a statement on August 23 indicating that California’s “charity” was a scheme to avoid paying federal taxes: “Congress limited the deduction for state and local taxes that predominantly benefited high-income earners to help pay for major tax cuts for American families.” He added, “The proposed rule will uphold that limitation by preventing attempts to convert tax payments into charitable contributions.”
Democrats panicked over Trump’s tax cuts for good reason. The most-liberal states in America have the highest local taxes. They stole tax revenue from the federal government by letting their rich residents claim deductions.
These SALT deductions let states like New York and California charge their richest residents higher taxes. They would, in turn, pay less federal.
But now, under Trump’s new tax plan, these rich citizens will have to pay their fair share in federal taxes. Which means they will be paying more taxes (both to state and federal) under his plan.
Meanwhile, Democrats still want you to believe the tax plan only benefits the wealthy. M-hm.
With SALT deductions heavily limited, rich residents are paying more to state governments. It is a strong incentive to leave high-tax states like California, taking with them their companies.
What is corrupt CA to do, but to scheme. God forbid they lower taxes!
For years Democrats claim they care more about “regular” people than the rich. They claim they will oppose the “1 percenters” of our society. But right here we see Democrats bending over backward to help rich people.
You don’t see them doing this to help working and middle-class residents, do you?
Perhaps the people of California will learn their lesson. Either move out of the state or vote these con artists out of office.