Is it Possible for Trump to Restore State and Local Tax Deduction for Federal Income?

President Trump, known for upholding his campaign promises and maintaining his positions, faces a dilemma that goes beyond party politics and into the realm of economic policy. The question looms: Would it be feasible for him to restore the state and local tax (SALT) deduction for federal income (2020-2023) to garner support from voters in high-tax states like New York, California, and Massachusetts?

Crux of the Issue: Campaign Promises and Political Reality

Can Trump Align Ideals with Reality? Given that one of the reasons many support Donald Trump is his commitment to not compromising on his campaign promises, returning to a policy like the SALT deduction would seem counterintuitive. This policy, however, has deep implications for both economic stability and political support.

The Case Against Restoring SALT Deduction

Firstly, the bulk of the opposition to SALT deduction comes from voters within high-tax states such as New York, California, and Massachusetts. It’s crucial for these states to take responsibility and make their voices heard. They need to:

Make it clear to their state legislatures and governors that they disapprove of their tax policies. Act by electing or re-electing representatives who align with their views.

It’s essential to note that while millions have moved out of these high-tax areas, their political attitudes, and party loyalties often persist. This phenomenon, dubbed the "invasion by a destructive foreign species," has been observed in states like Vermont, where the influx of individuals from New York and Massachusetts has radically changed the political landscape.

The Vermont Example: A Breakdown of State Dynamics

Take the case of Vermont, where I attended college from 1970-1974. During my time there, Vermont was predominantly populated by

Old-Yankee Republicans Families tending dairy cows Residents tapping maple trees and making syrup Attendees of local Protestant churches on Sundays

Fast forward to today, and Vermont has transformed into a hard-left, 'Blue' state, largely due to the influx of New York and Massachusetts residents who moved there to escape high taxes and instability in their home states. This radical change brought about by out-of-state residents polarized Vermont and paved the way for the election of Bernie Sanders, a Marxist Democrat, as the U.S. Senator.

The Practical and Ethical Considerations

From a practical standpoint, altering the SALT deduction would likely:

Disappoint and alienate the president's base, which is deeply invested in his unyielding stance. Be perceived as a political move rather than a genuine effort to improve tax policy.

President Trump should adhere to his principles and not make concessions simply to change voter sentiments. Instead, he should:

Uphold his stance on tax policies. Conduct himself with confidence and boldness, particularly on Election Night.

The Role of Federal Authorities

Adding to this discussion, Attorney General (AG) Barr could make a powerful statement by announcing early-morning press conferences the next morning, targeting individuals responsible for these changes. This move would demonstrate a commitment to justice and the rule of law.

In conclusion, the feasibility of restoring the SALT deduction for federal income would depend on a combination of political strategy, public opinion, and the desire to maintain the president's core values. Given the complexity of the issue, a balanced approach is essential for long-term stability and voter satisfaction.