I was glad to read that U.S. Rep. Tom Suozzi has taken a strong stance in support of repealing the cap on the SALT tax deduction that was enacted as part of the Trump tax plan, saying that he will vote against any changes to the tax code unless a repeal of the cap is included. As a Mineola resident, I would like to know why Rep. Kathleen Rice is not taking a similarly strong position. For that matter, where are Sens. Charles Schumer and Kirsten Gillibrand?
A major factor in why blue states such as New York have higher state and local taxes is that we pay more in federal taxes than our communities receive in benefits. Therefore, we must pay higher state and local taxes to provide adequate funding for vital services such as our public schools. The SALT deduction does not change this fact, but it does attenuate the degree to which it is the case. This was widely accepted as a reasonable compromise until the Trump administration came around.
In his letter to the editor, Donald Davret argued in favor of the SALT cap by claiming that many Long Island school districts are the de facto equivalent of private schools with the cost paid through property taxes rather than an annual tuition bill. While there is no doubt truth to this in some districts, it is not the case across the board.
I grew up in Port Washington, where students who benefit from free and reduced lunches and students who live in houses on multi-acre plots with seven-figure price tags go to the same high-quality schools. They attend classes together with the same teachers, the overwhelming majority of whom are excellent. If the SALT cap is repealed, it will likely have the effect of making communities like Port Washington less affordable to the middle class, thereby increasing rather than decreasing economic segregation. If equality of opportunity is our goal, then we should be seeking ways to export the Port Washington model not just to other districts on Long Island but throughout the nation rather than changing the tax code in ways that may disincentivize such economically heterogeneous communities from existing in the first place.
Mr. Davret references people earning $400,000 per year, yet the reality is that one need not earn even half that much money in order to be adversely affected by the SALT cap. The bottom line is that this change does affect the middle class, not just the very wealthy. It is also important to note that the blue states that suffer under this policy generally have the highest cost of living in the country. One must earn more money here than in most other places in order to enjoy a middle-class lifestyle.
Given this, it is reasonable to seek to reduce the additional tax burden on people living here relative to those earning the same income in areas where basic necessities such as housing can be obtained for far less money. New York Democrats should keep their promises to the voters and fight to repeal this unfair provision.
David Golub
Mineola
