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Connecticut Among States Challenging United States Government Over Tax Deduction Cap

Frankie Graziano
/
Connecticut Public Radio
This computer features a professional tax software called TaxSlayer. Volunteer income tax preparers at Enfield's Asnuntuck Community College use it to file returns for customers.

Connecticut is suing the federal government over Republican tax cuts. The $1.5 trillion cuts were signed by President Donald Trump in December and included a cap on federal deductions for state and local tax, or SALT.

The provision hits high-property-tax states like Connecticut particularly hard.

Governor Dannel Malloy said Tuesday that the SALT cap could cost Connecticut residents $10 billion.

“We had already announced that we were joining months ago, and so, this is the actual bringing of the lawsuit,” Malloy said. “I’m thankful. I think we have an operational political theory, or group of theories, that need to see the light of the day in a court.”

Attorney General George Jepsen filed the lawsuit on Connecticut’s behalf. He said this has been in the works since Trump signed the cuts into law because he believes the law violates the fundamental tenets of federalism.

“Certain powers are reserved for the federal government,” Jepsen said. “Other powers are reserved for the state. And it’s very clear here that in passing this tax law and eliminating the deduction, it was an attempt to have an impact on state tax policy.”

The lawsuit was initiated by the New York attorney general’s office. Connecticut joined New York, New Jersey, and Maryland as plaintiffs in the suit.

Frankie Graziano is the host of 'The Wheelhouse,' focusing on how local and national politics impact the people of Connecticut.

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SOMOS CONNECTICUT is an initiative from Connecticut Public, the state’s local NPR and PBS station, to elevate Latino stories and expand programming that uplifts and informs our Latino communities. Visit CTPublic.org/latino for more stories and resources. For updates, sign up for the SOMOS CONNECTICUT newsletter at ctpublic.org/newsletters.

SOMOS CONNECTICUT es una iniciativa de Connecticut Public, la emisora local de NPR y PBS del estado, que busca elevar nuestras historias latinas y expandir programación que alza y informa nuestras comunidades latinas locales. Visita CTPublic.org/latino para más reportajes y recursos. Para noticias, suscríbase a nuestro boletín informativo en ctpublic.org/newsletters.

The independent journalism and non-commercial programming you rely on every day is in danger.

If you’re reading this, you believe in trusted journalism and in learning without paywalls. You value access to educational content kids love and enriching cultural programming.

Now all of that is at risk.

Federal funding for public media is under threat and if it goes, the impact to our communities will be devastating.

Together, we can defend it. It’s time to protect what matters.

Your voice has protected public media before. Now, it’s needed again. Learn how you can protect the news and programming you depend on.

Connecticut Public’s journalism is made possible, in part by funding from Jeffrey Hoffman and Robert Jaeger.