SUOZZI’S EFFORT TO REPEAL SALT CAP RECEIVES MAJOR BOOST FROM U.S. CONFERENCE OF MAYORS

Largest organization of U.S. Mayors makes their commitment to fully restoring the SALT deduction; U.S Conference of Mayors CEO personally pledges to Suozzi he will bring together the biggest state and local government organizations to help restore the SALT deduction

Today, Congressman Tom Suozzi’s (D-Long Island, Queens) effort to fully restore the State and Local Tax (SALT) deduction received a major boost from the U.S. Conference of Mayors (USCOM), which represents over 1,400 Democratic and Republican led cities across the country. 

During a live Zoom webinar, Suozzi and leaders from the USCOM made a call for the full restoration of the SALT deduction, an issue which the conference has deemed their number one Federal tax policy issue.

Tom Cochran, the CEO and Executive Director of USCOM, made a personal pledge to Suozzi that he will bring together: National Governors Association, U.S. Conference of Mayors, National League of Cities, National Association of Counties, National Conference of State Legislatures, Council of State Governments, International City/County Management Association, and all other stakeholders in efforts fully restore the SALT deduction. Video from the webinar is found here (Access Passcode: xoJBn$32).

“Efforts to restore the SALT deduction are gaining momentum. Together, Democrats and Republicans – from the halls of Congress to local city governments – are calling for the restoration of the SALT deduction,” said Congressman Suozzi. “The cap on the SALT deduction has been a body blow to New York and middle-class families throughout the country. At the end of the day, we must fix this injustice.”

"One of the basic principles behind the SALT deduction was that the Federal Government should not impose taxes on income used to pay state and local taxes,” said Tom Cochran, CEO and Executive Director, U.S. Conference of Mayor. ‘In other words, taxpayers should not be subjected to double taxation. This fairness issue remains an important priority of the United States Conference of Mayors today."

In high cost of living states, the SALT cap has unfairly hurt middle-class families. In 2017, before the cap was placed on the SALT deduction, 80% of filers that claimed the deduction made less than $200,000. In high cost of living states, such as New York, making under $200,000 is broadly considered middle-class. 

In New York, particularly, the cap on the SALT deduction has accelerated a race to the bottom and hurt economic output. According to the Rockefeller Institute of Government, total economic activity lost in New York as a result of the SALT cap ranges from $14.4 billion to $24.5 billion annually depending on the methodological approach used for analysis. 

This is why Suozzi is a leader in Congress to have the cap repealed, with 106 bipartisan Members of Congress cosponsoring his legislation to repeal the SALT cap. 

Recently, Suozzi has accelerated his efforts by putting his foot down and leading three other members of Congress in the “No SALT, no Deal” pledge. Suozzi also led nearly the entire New York Congressional delegation in a letter to House Leadership, who made similar calls, in which the members stated: “We stand ready to work with you on this critical issue [SALT], and we will not hesitate to oppose any tax legislation that does not fully restore the SALT deduction.”

Last week, as part of Suozzi’s continued efforts to better educate his Congressional colleagues and the public of the impacts on SALT, Suozzi launched a bipartisan SALT Caucus, with over 30 members of Congress joining within 24 hours. 

Suozzi’s legislation to fully restore the SALT deduction has broad support from outside groups. Groups include: 

• US Conference of Mayors
• National Association of Counties
• National League of Cities
• International Association of Firefighters
• National Association of Realtors
• American Federation of Teachers
• National Education Association
• National Association of Police Organizations