Today, Congressman Josh Gottheimer (D, NJ-5) and Rep. Leonard Lance (R, NJ-7) introduced the bipartisan Cutting Local Taxes by Reinstating SALT Act, legislation that would restore the state and local tax (SALT) deduction that was recently repealed by the Tax Hike Bill.
New Jerseyans across the state rely on the state and local tax deduction. Yet, the Tax Hike Bill took a two-by-four to the State of New Jersey, gutting the State and Local Deduction (SALT), sharply limiting New Jersey’s property tax deductions, and imposing a massive Tax Hike on Jersey families and businesses. The Tax Hike Bill also eliminated home equity loan deductions, and slashed the mortgage interest deduction. The Tax Hike Bill was largely paid for on the backs of New Jersey taxpayers and, according to experts, will bring property values down by as much as twenty percent and send businesses and jobs to other states.
“The sole purpose for eliminating the State and Local Tax Deduction was an assault on New Jersey families and small businesses, while redistributing our hard-earned wages to Moocher States, such as Mississippi and Alabama,” said Congressman Gottheimer.
“In Jersey, we don’t just take a punch and snake away into the corner. No, we stand up fight. That’s why my colleague Leonard Lance and I introduced the bipartisan Cutting Local Taxes by Reinstating SALT Act. It is part of my broader Tax Cut Plan to restore the state and local tax deduction in its entirety,” continued Gottheimer.
“No taxpayer should have to pay taxes on taxes. The state and local tax deduction should be restored in its entirety. It has been in the tax code since 1913 and is a matter of fundamental fairness under the concept of federalism,” said Rep. Lance.
The bipartisan Cutting Local Taxes by Reinstating SALT Act is part of the Gottheimer Tax Cut Plan, which includes utilizing charitable deductions to provide relief, pursuing legal recourse to challenge the Tax Hike Bill provisions, increasing the Return on Investment for federal tax dollars already sent to Washington, and enacting anti-mooch state tax credit legislation.
To view a one-page summary of the Tax Cut Plan, click here.
To view a full version of the legislation, click here.