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Congressman Raja Krishnamoorthi

Representing the 8th District of Illinois

Reps. Krishnamoorthi, Gutiérrez, and Foster Urge Governor Rauner To Join Them In Opposing Proposal To Eliminate Key Tax Deduction For Working Families

October 4, 2017
Press Release
"Eliminating the state and local tax deduction would be nothing less than a tax hike on working families in Illinois"

WASHINGTON, DC – Today, Congressmen Raja Krishnamoorthi, Luis Gutiérrez, and Bill Foster wrote to Governor Bruce Rauner to ask that he join them in urging Congress to preserve the state and local tax (SALT) deduction which nearly a third of Illinois families use to deduct the cost of state income and property taxes, an average savings of thousands of dollars annually. The tax plan recently proposed by Washington Republicans would eliminate this deduction, despite outcry from both parties.

“Eliminating the state and local tax deduction would be nothing less than a tax hike on working families in Illinois,” said Congressman Raja Krishnamoorthi. “I hope Governor Rauner will join us in opposing any effort to end this tax credit.”

The text of the letter from the Members follows;

 

The Honorable Bruce Rauner

Governor

207 State House

Springfield, IL 62706

 

Dear Governor Rauner,

As part of its tax reform efforts, Congress is considering eliminating the state and local tax (SALT) deduction. Working families in Illinois depend on this deduction each year, and we ask that you please lend your voice in favor of keeping this critical component of our tax code. Eliminating the SALT deduction would equate to a significant tax increase on Illinois families and make it much more difficult for working Americans to get ahead.

In Illinois, the state and local tax deduction represents a sizable portion of taxpayers’ income, accounting for approximately 6% of the average itemizer’s adjusted gross income. In 2016, some 32.4% of Illinois working families used this important deduction for income and property taxes, making it more affordable to own a home and limiting instances for double taxation on income.

In addition to providing economic certainty for middle class families, the SALT deduction contributes to the stability of state and local tax revenues that are essential for providing public services. For this reason and in an effort to preserve the principles of federalism, a number of bipartisan and nonpartisan organizations have spoken out in support of the SALT deduction, including: The National Governors Association, the United States Conference of Mayors, the National Conference of State Legislatures, the National Association of Counties, and the Council of State Governments.

We hope you will consider the potential dramatic increase to the tax burden on working families and homeowners in our state, and we ask you to join us in urging Congress to keep the state and local tax deduction fully intact.

We appreciate your consideration of our request

Sincerely,

Raja Krishnamoorthi                                                     Luis V. Gutiérrez

Member of Congress                                                     Member of Congress

Bill Foster

Member of Congress

 

A signed copy of the letter is available here