Assemblyman Ed Ra (R-Franklin Square) recently wrote to U.S. House Speaker Paul Ryan (R-Wi.) to express his concern over the proposed Federal Tax Reform Bill. The bill in its current form would have many middle-class suburban Long Islanders facing higher taxes.
“I think every hardworking taxpayer would like taxes to be simplified, but the current proposal in Washington would put my constituents here on Long Island at a distinct disadvantage,” said Ra. “I encourage the speaker to consider the alternatives proposed by our local representatives. The tax plan should give special attention in developing solutions that can provide tax relief for middle-class taxpayers while they pursue a simplified tax code and reforms that may stimulate economic growth. Please do not forget the people who are the backbone of our nation’s economy.”
In his letter, Ra urges the speaker to keep in place the federal deductions for local and state taxes, which have been in place for more than 100 years. This is particularly important to New York taxpayers, who send more tax dollars to the Federal government than they receive back. According to Comptroller Thomas P. DiNapoli, in 2016 the disparity between what is paid to the Federal government by New Yorkers and what it received in return was $41 billion, more than twice what it was only three years before.
Additionally, the proposed $10,000 cap on local property tax deduction would hurt Ra’s constituents significantly. The combined impact of removing federal deductions on local and state taxes and the reduced amount homeowners would be allowed to write off on their income taxes would prove detrimental to the well-being of Long Island and New York taxpayers. The policies would increase the tax burden on middle-class families.
Ra urges Speaker Ryan to reconsider a new approach to achieving a simplified tax code that would not harm New York middle-class families. A copy of Ra’s letter can be found here.