Schumer: Democrats will try to overturn tax deduction cap

Posted: Updated:

WASHINGTON (AP) - Senate Democrats are attempting to repeal an IRS regulation that is designed to keep people from exceeding the $10,000 limit on state and local tax deductions.

Democrats will force a vote, scheduled for Wednesday, to overturn the regulation through the Congressional Review Act, Senate Minority Leader Chuck Schumer told The Associated Press on Tuesday.

The vote takes aim at an IRS rule from June that prohibits states from creating charitable funds that taxpayers can contribute to in exchange for a state tax credit. The workaround gave residents in some states a way to get around the limit on so-called SALT deductions. The 2017 GOP tax overhaul limited the amount of state and local taxes that taxpayers can write off.

The Democrats' measure would use what has been a rarely successful legislative tool to overturn a regulation. The Congressional Review Act gave Congress the ability to overturn recently issued federal rules with a simple majority of both chambers of Congress and approval of the president.

"I think we are very, very close," Schumer said.

He said Americans living in suburban neighborhoods in high-tax states, like New York and California, are already paying some of the highest property and school taxes in the nation and "for the federal government to then penalize them is so unfair."

"The devastation in New York is very, very bad," Schumer said, adding that it is also affecting "many Republican states."

(Copyright 2019 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

  • SlideshowsGalleriesMore>>

  • Congress holds public hearings in impeachment inquiry

    Congress holds public hearings in impeachment inquiry

    Photos from the public congressional hearings as part of the impeachment inquiry into President Donald Trump and his administration's dealings with Ukraine.
    Photos from the public congressional hearings as part of the impeachment inquiry into President Donald Trump and his administration's dealings with Ukraine.
  • Dog Day Fridays for Nov. 15

    Dog Day Fridays for Nov. 15

    Friday, November 15 2019 10:28 AM EST2019-11-15 15:28:42 GMT
    This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.
    This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.
    This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.
    This week's dogs are up for adoption at Ruff House Rescue. The shelter is located in Oceanside. Their phone number is 516-306-4998.
  • Beginning to look a lot like Christmas: Tree arrives in Rockefeller Center

    Beginning to look a lot like Christmas: Tree arrives in Rockefeller Center

    Saturday, November 9 2019 4:52 PM EST2019-11-09 21:52:58 GMT
    The tree will be decked out in more than 50,000 multicolored lights and crowned with its iconic star.
    The tree will be decked out in more than 50,000 multicolored lights and crowned with its iconic star.
sorry to interrupt
your first 20 are free
Access to News 12 is free for Optimum, Comcast®, Spectrum Networks® and Service ElectricSM customers.
Please enjoy 20 complimentary views of articles, photos, and videos during the next 30 days.
you have reached your 20 view limit
Access to News 12 is free for Optimum, Comcast®, Spectrum Networks® and Service ElectricSM customers.
Please login or create an account to continue enjoying News12.
Our sign-up page is undergoing maintenance and is not currently available. However, you will be given direct access to news12.com while we complete our upgrade.
When we are back up and running you will be prompted at that time to complete your sign in. Until then, enjoy the local news, weather, traffic and more that's "as local as local news gets."