Roskum Supports Budget, Shows Knowledge of Constituent Concern about GOP Proposal to End Income Tax Property Tax Deduction

A press release from Congressman Peter Roskam:

Representative Roskam votes in favor of Senate GOP Budget Resolution

Says budget resolution is a “…prelude to tax reform” 

DuPage County, IL — Today, Representative Peter Roskam (IL-06) voted in favor of the Senate-amended GOP budget resolution which passed the House of Representatives, 216-212.

The passage of this resolution now clears the way for the Ways and Means and Senate Finance Committees to move on tax reform.

Congressman Peter Roskam on the House floor.

In a speech on the House floor, Rep Roskam urged his colleagues to join him in voting for this resolution saying,

“This is a prelude to tax reform – we want to make it so that no single political party is able to deny a vote on tax reform and both parties can come to the table and try to negotiate something that’s thoughtful.”

Representative Roskam defended the GOP tax plan as a win for middle-income families and small businesses, saying, “It’s the current tax code that allows corporations to lock trillions of dollars off shore. It’s the current tax code that is stifling and so difficult. And it’s the current tax code that nobody can defend.”

“Let’s dump the current tax code and let’s have a transformational moment,” said Rep Roskam. “That’s what our country, that’s what our constituents are yearning for. They’re looking for us to lead and to bring people together and that’s what we’re trying to do,” he continued.

Rep Roskam also addressed the heavily-debated State and Local Tax (SALT) deductions [referring to consideration of dropping the income tax deduction for real estate and state income taxes], saying,

“Tax reform doesn’t mean the redistribution of a tax liability from one part of the country to another; it means tax relief for everybody.

“We’re looking to create middle class tax relief.”

Video of Rep. Roskam’s floor speech:


Comments

Roskum Supports Budget, Shows Knowledge of Constituent Concern about GOP Proposal to End Income Tax Property Tax Deduction — 19 Comments

  1. This does not address SALT, and does not address that this “tax reform” will cause a LARGE federal tax INCREASES for median income residents of Woodstock IL and other areas with extraordinary property tax rates.

    HERE ARE SPECIFIC FIGURE TO SUPPORT THE ABOVE STATEMENT; WOULD ROSKAM EVER SPEAK TO SPECIFICS???

    The Tax Bill eliminates the current personal deduction of $4050 and current standard deduction of $6350, which now totals $10,400 in deductions.

    This would be replaced with a $12,000 standard deduction and no personal deduction.

    This means an increase of $1600 deductions in return for disallowing local and State tax deductions.
    BIG LOSS for all Woodstock taxpayers.

    A $200,000 home with homestead exemption pays $7644 property taxes.

    $7644 deduction would be lost, replaced with only $1600 increased deduction.

    That is a loss of $725.28 new higher federal taxes to a Woodstock taxpayer assuming the lowest 12% bracket (below $37950 income).

    Now add to that the lost State income tax deduction(5% of income).

    Median income $58000 x .05= $2900. At 12% +25% (next bracket up)= $227.7 + $50.01= TOTAL $277.71 additional federal tax increase attributed to loss of State tax deduction.

    Total Federal TAX INCREASE due to new tax law= $1003 INCREASE for Woodstock taxpayers earning median
    income living in median value homes.

    (offset partly by unknown lower bracket shifting. If current 10%-15% brackets on income of
    $0 – $9,325 $9,326 – $37,950 are blended to 12%, that would lower taxes on $37950 earners by $672)

  2. don’t any of these people ever do the rudimentary math on what the effects will be on an enormous segment of their supposed constituency?

    median income earners in median priced homes should be a no-brainer for case-study examples.

    It seems that Illinois “representation” in D/C. is off the Illinois leash to slaver after some reward from those they perceive as holding tastier treats.

    Illinois earned income is being exported from Illinois via extraordinarily high local property tax rates paying ordinary income to public employees who pay federal tax on income and retirement income.

  3. Not to worry, Susan. Global reset is scheduled to go off this weekend.

  4. Will hurt but Our high income tax and property taxed state is being subsidized by the states living within their means. \

    D155 for example increasing the levy can do this because of these exemptions.

    The smart ones are leaving this state ASAP.

  5. Factually inaccurate that Illinois is ‘subsidized ‘ at all by any other state.

    Illinois receives back only about 25 cents on the dollar from Fed tax payments from this state.

    Another net loss is FEMA donations; by its formula for payout, no Illinois disaster ever qualifies for FEMA payout.

    That being said, I agree that the local property tax rates are obscene and indefensible.

    Social services of similar quality are provided all over America for significantly lower costs.

    But the money paid in local property taxes goes to pay salaries which in turn pay federal taxes.

    There is no subsidizatin involved in absense of double taxation.

  6. Our politicians all talk of budget and tax reform but ignore the $20 trillion national debt.

    The interest payment alone paid on the debt in the last fiscal year was $276.2 billion.

    That is $5,524,000,000 per state!

    This sounds like a major problem to me.

  7. Notice how Susan ignores the new lower tax rates and the positive effects of growth on employment, wages, and capital gains in Deferred Comp Accounts and pension funding.

    Figures don’t lie, but liars do figure.

  8. I don’t understand your specific point.

    How do your generalities, with which I don’t necessarily agree without specific citations of case study or supprtive rationale, have relevance to the issue that this will be a middle class income tax rate increase?

  9. Because you mentioned ‘pension funding’ as an alleged benefit, please address the proposed lowered cap on 401kcontributions

  10. Trump has come out forcefully against any tampering with Deferred Compensation accounts. Didn’t they let you know that on MSNBC? Of course not, silly me.

    You want specifics? The Reagan Tax cut started a 15 year economic expansion. The Kennedy Tax Cut initiated a 9 year economic expansion.

    The Smoot-Hawley Tariff Bill (a de facto tax increase) precipitated the Great Depression.

    By eliminating the nationwide subsidy on high state and local tax states like Illinois, California, New York, Massachusetts, New Jersey, Connecticut and Rhode Island, we can force these states to reduce and right size the cost of their governments.

    Susan, the stock market is up over 20% since the Friday before Trump was elected, creating over $5 trillion in American wealth. Since over half of all American adults own stock directly or indirectly in pension funds, life insurance, and/or deferred compensation plans, the continued economic expansion that the Trump Tax Cut provides will substantially increase the wealth and security of most Americans.

  11. So you do not disagree that this is a tax hike for median income earners.
    Please explain how property taxes paying salaries which pay federal income taxes equate to subsidies. Use numbers.
    And enough with th ad hominem non sequiturs.
    I am very much in favor of lower taxes for all, paid for by lower federal spending.
    But the issue at hand is whether a large chunk of Americans, median income earners, will receive a tax hike due to this plan. I believe the numbers above show this will happen. Lower discretionary income in a large percentage of his shoes will also affect economy.

  12. You are wrong Susan.

    By extending the State and Local Tax deduction (SALT), people in high state and local tax states get lower taxes and/or higher refunds than the taxpayers in other states with identical returns. Thus, the unfair tax subsidy low SALT states provide to high SALT states. This opium allows the high SALT Taxpayers to think they are getting something back for the high local taxes. It is opium for the non-critical thinkers.

    The higher standard deduction, lower tax rates, expanded Child Credits, and the economic growth will result in an economic boom and lower taxes for most working Americans, as it did by the Reagan and Kennedy tax cuts.

    With any luck we can get vouchers for all children so that their parents can choose the best educational option for their children.

    You will have to watch something other than the Snowflakes on MSNBC or Paul Krugman, who hasn’t got anything right yet, for your information.

  13. You say that one more time and I Will ask you why you are so afraid of numbers is it that you are lazy or is it because you are stupid?

    But I won’t, because that adversarial irrelevant personal attack isn’t productive.
    Also I don’t know you well enough to conclude for certain that you are either lazy or stupid. I do not like to proffer unfounded opinions.
    It doesn’t advance my argument in any case.

    Can you illustrate where the net subsidy is, if those dollars spent on property taxes are deducted by one party but received by another party who then pays federal income tax on them?

    Finally, if you would spend some time on specifics of fighting obscene indefensible and arguably in some cases illegal property taxes demanded by our local school districts, we might get somewhere.
    Generalities don’t do any good, you have to comb through budgets and isbe filings and school code and statutes. Please help with that? I’m in Woodstock D200 and we are being annihilated by 4.2% property tax rates .

  14. Leave her alone. She’s on a mission (which is more than anyone can say for you, OldMan).

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