Protect Our Tax Dollars and Help Our Economy Thrive
Long Island Taxes
For the first time since 1913 federal taxpayers cannot fully deduct the taxes they pay for state and local taxes on their federal income tax returns. This deduction was enacted and continued for over a century until the recent federal tax legislation was signed into law by our President in 2017. The deduction for state and local taxes on our federal tax returns has been zealously guarded because of a fear that high levels of federal taxation might prevent the state and local governments from being able to raise the taxes needed to sustain those communities. This fear of the federal government starving our local communities is as old as our nation and was first expressed by Alexander Hamilton in the 1800s. (see https://taxfoundation.org/state-and-local-tax-deduction-primer/) According to Alexander Hamilton, the fear was that “all the resources of taxation might by degrees become the subjects of federal monopoly, to the entire exclusion and destruction of state governments,” and lawmakers enacted the federal tax deduction of state and local governments to protect against the federal government bleeding state and local revenues.
As County Legislator Jan will zealously advocate for the restoration of the full state and local tax deduction to stop the federal government from bleeding our local government and increasing the tax burden on Suffolk taxpayers. Jan will also work with leaders in other levels of government to find a solution to the increased tax burden caused by this federal taxation of monies paid to state and local governments to provide services not provided by the federal government.
Suffolk County cannot allow this misguided tax plan from further damaging our community by dangerously reducing essential government services such as law enforcement or services for our youth, elderly or veterans’ affairs. And we cannot allow this offensive tax policy to encourage county government to neglect our local infrastructure and allow our roads, bridges and other county facilities to crumble.
Our current Democratic leadership has already reduced the county workforce to help keep the county portion of real estate taxes manageable. When making tax cuts we must be careful that we do not put the quality of our life in Suffolk County at risk.
If Suffolk County Legislator Robert Trotta is successful in his effort to limit the fees that could be charged by Suffolk County for certain services, it would effectively force the County to raise taxes or eliminate some services entirely.. While appealing at first glance, eliminating fees for those services would result in a reduction of County revenue, and thus would reduce the funds available to pay salaries for County employees. Unfortunately, this could force many County workers onto the unemployment rolls.