The $10,000 limit, which became effective for the 2018 tax year, will hit many taxpayers in states with high incomes, property values and taxes.Paying New York state taxes out of corporate payroll rather than an income tax would help ease the effect on residents of the new cap. New York state residents, however, would still face a $10,000 cap on deductions of local and property taxes.According to the Cuomo administration official, who spoke on condition of anonymity because the ongoing discussions have not yet been formalized, the chief executives of the largest employers in New York City are willing to consider the move to a payroll tax system.“Yes, they want to be part of it. They want to be part of how we put it together because their employees are negatively impacted,” the official said, giving greater detail for the first time to plans broadly outlined by Cuomo in his 2018 State of the State address on Wednesday.“Make no mistake, they (Washington) are aiming to hurt us,” Cuomo said in his State of the State address. “This could cause people to leave the state of New York. We’re looking at all of these options.”

Source: Egypt Today January 06, 2018 03:11 UTC