New York Leads Lawsuit against Federal Government over Cap on SALT Deduction

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Furthermore, the plaintiff states pointed out that “the federal government reversed over 150 years of precedent” by enacting the Tax Cuts and Jobs Act. They noted that the new tax law was highly partisan and unfair. They will bear the cost of the new tax cuts, but will receive the fewest benefits.

The cap on SALT deduction violates the U.S. Constitution, according to the plaintiff states. They are asking the U.S. District Court for the Southern District of New York to nullify it.

New York “Will Not Allow Partisans in Washington to Hurt” its People

In a statement, New York Attorney General Barbara Underwood reiterated that the SALT deduction cap is “unconstitutional” and goes beyond the power of the federal government on income tax.

“We will not allow partisans in Washington to hurt our people or interfere with our policies,” Underwood said. “We’ve filed suit against this unconstitutional attack on New York and our state’s fundamental rights — because we won’t stand by and let Washington pick the pockets of New Yorkers.”