Oklahoma Policy Institute: This nonsensical ‘double dipping’ tax break is costing Oklahoma millions

“Disallowing just the deduction for state income tax would yield the state $97 million, according to an analysis by the Institute for Taxation and Economic Policy. Only one in four households (24 percent) would be affected at all by this tax change. Over half of the $97 million in new revenue – 58 percent – would be paid by the wealthiest 5 percent of taxpayers (incomes over $200,000), while just 3 percent would be paid by the 60 percent of taxpayers with incomes below $59,800. If the deduction for local property taxes were included, the revenue gain would rise to $132.0 million, but low- and moderate-income households would pay a somewhat higher share of the total tax.”

Read the full report here.