President Trump's tax plan has generally been well-received--by conservatives, anyway. But this also means that one very big deduction goes away--the deduction for state and local income taxes paid. In a way, the federal government was subsidizing state government revenues by allowing for the deductibility of state taxes. The median state income tax is about 5%. Trump's tax plan results in a lower tax burden, but it also goes a long way towards a smarter system of taxation.

Source: Forbes May 04, 2017 20:37 UTC