Prometheus 6

My first reaction to this was, if we get back from the federal government the same proportion of services as the proportion of taxes we pay, it's a deal.

A little later…you know, sometimes it looks like what the so-called leaders of the Conservative movement really want isn't secession but discorporation.

Quote of note:

Supporters of the change insist the disproportionate effect on blue states is a coincidence, but they acknowledge that the proposal could hurt most in states that voted against Bush.

"Let me put it like this: It certainly isn't something that's a discouragement," said one prominent conservative. "Yes, we talked about this. The fact that it hits blue states is not something that's been missed among Republicans."

Proposal Would Hit Blue State Taxpayers
Some conservatives want to kill the U.S. deduction for state and local taxes. Californians and New Yorkers would feel the strongest sting.
By Warren Vieth
Times Staff Writer

December 5, 2004

WASHINGTON — As President Bush lays the groundwork for a possible overhaul of the U.S. tax code, one option under consideration would deal its biggest financial blow to citizens of blue states such as California and New York.

Some conservative activists are urging the Bush administration to scrap the federal deduction for state and local taxes as part of a broader plan to revamp the nation's tax system.

Although the proposal would hurt some taxpayers in nearly every state, it would hit hardest in states with higher-than-average income levels and bigger-than-average state and local tax burdens. High on the list are a number of blue states — those that were carried by Democrat Sen. John F. Kerry in last month's presidential election.

Taxpayers in California and New York, for example, which have top state income tax rates of 9.3% and 6.5% respectively, would be highly affected; residents of Florida and Texas, which have no state income taxes, much less so.