House Republicans unveiled their long-awaited tax overhaul plan Thursday, which includes major changes to deductions involving mortgage taxes, property taxes and state and local taxes.

If passed, it would be the first major overhaul of the U.S. tax system in more than three decades.

The plan would slash taxes for corporations from 35 percent to 20 percent, but it would end or limit some deductions popular with homeowners on Long Island. Deductions for state income taxes would be eliminated and deductions for local property taxes would be capped at $10,000.

South Huntington's Sue Howe says property taxes in her neighborhood are around $13,000. She's not pleased by the $10,000 cap. 

"We're dead on Long Island," she said. "We have the highest taxes. It's ridiculous."

In Dix Hills, Jennifer Dagan pays $25,000 in property taxes. 

"It's going to be stressful. Capping it at $10,000 isn't going to be good," said Dagan. 

Economic experts say less money in people's wallets means less money for extras, like shopping, which would impact the local economy. 

"This tax plan basically tells Long Island middle class to drop dead," says Dr. Marty Cantor, an economic analyst. He says the plan benefits the wealthy and big business on the backs of the middle class.

"This tax plan adversely impacts every element of Long Island economy," says Dr. Cantor.

The plan also doubles the standard deduction for families and increases the child tax credit. Republicans insist the plan is a boost for the middle class.

"This plan is for the middle-class families in this country who deserve a break.  It is for the families out there living paycheck to paycheck who just keep getting squeezed," said House Speaker Paul Ryan. "The Tax Cuts and Jobs Act will deliver real relief for people in the middle, and people who are striving to get there."

President Trump set an ambitious timetable for the new tax plan. He wants it enacted by Christmas.

Reps. Peter King and Lee Zeldin both told News 12 Long Island that they do not support the bill in its current form.