For the average middle-income earner, losing a federal tax credit for state income taxes paid won’t be felt, because other deductions are increased in the GOP tax-cut plan.
The real problem blue-state Democrat leaders from New York to California have with the Republican plan is that the WEALTHY lose their state-tax deductions, because the other deduction increases in the Republican plan favor the middle-class, not the rich.
So when you hear Nancy Pelosi, Jerry Brown, or Andrew Cuomo moan about the GOP plan, it’s because they fear wealthy residents of their high-tax states will move away, if they lose their precious state-income-tax deductions.
We explained this before, and a new NRO article explains it again.
And even an unusually honest NY Times noticed…
“Among the Tax Bill’s Biggest Losers: High-Income, Blue State Taxpayers“