The Montgomery Advertiser: Ending Federal Tax Deduction
media mentionThe lowest-earning 20 percent of residents shell out approximately 10.2 percent of their annual income on state and local taxes, for example, while top earners pay only 3.8 percent, according to the Institute on Taxation & Economic Policy.
One sensible way for the Legislature to address the budget gap without doing further harm to the downtrodden is to repeal the state income tax deduction for federal income taxes and direct those new dollars to the General Fund.