Donovan Votes to Defend Deductions for State and Local Income Tax, Property Tax, Mortgage Interest
Washington, DC—November 16, 2017….Congressman Dan Donovan (NY-11) today voted “no” on the proposed tax reform package. The legislation would end the state and local income tax deduction on which thousands of local families rely; cap the mortgage interest deduction for loans that are below that median home price in Donovan’s Congressional district; and cap the property tax deduction at $10,000.
Congressman Donovan said, “The math just doesn’t add up. This would be a tax increase for far too many families that I represent. I will not support legislation that cuts taxes for everybody else in the country and sends my constituents the bill. For every dollar New York sends to Washington, we get $0.79 back. We’re already subsidizing the rest of the country.”
According to the Institute on Taxation and Economic Policy, four states – New York, New Jersey, California, and Maryland – would pay $16.7 billion more in taxes over the next 10 years, while the other 46 states would see a $101.5 billion tax cut.
Donovan continued, “Let’s stop pretending this bill is good for everybody. It’s shifting the tax burden to families in states that already pay exorbitant taxes in order to fund tax cuts elsewhere. Folks in Washington view New York as a piggy bank to continue subsidizing services for other parts of the country, but the party won’t last forever.”
Donovan concluded, “I’ve been open to alternatives since I first voiced my concern on this issue back in June, and my colleagues and I sent a compromise proposal to leadership weeks ago. Tax credits, income caps, and other ideas that have been batted around should all be on the table. We have a spending problem, not a revenue problem, so we should close the deficit by focusing on things like peanut subsidies, not double taxation.”