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The jig is up

Reuters: Local politicians terrified tax reform will make their residents realize how high local taxes are


Local politicians terrified tax reform will make their residents realize how high local tax Here's something local politicians, regardless of party, would like you not to know: The local taxes they levy are much higher than they seem, because as of now Uncle Sam picks up much of the tab by letting you deduct those taxes from your federal taxable income. That makes it easy for them to sock you for the cost of various local levels of government while making it feel like you're not paying as much as you really are. Those local politicians are in a panic now, because the deduction for state and local taxes might be going away in whole or in part. In exchange, you'll get a much higher standard deduction, which will go equally to everyone regardless of their state and local tax liability. That means that in the future, when local politicians try to raise taxes, their constituents are actually going to feel it.
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