New York’s Andrew Cuomo announced his plans Friday to form a coalition of ‘Blue State’ Governors and sue the federal government over the recently passed GOP tax legislation; saying the bill unfairly punishes east coast residents with drastically higher property taxes.
Just three states -New York, New Jersey, and Connecticut- have signed onto Cuomo’s initiative, but the group hopes to expand to California, Illinois, and other left-leaning local governments as the Republican tax cuts take effect in the coming months.
According to Fox News, the coalition blasted the legislation’s State and Local Tax Deduction, also known as SALT provision, which eliminates individual’s abilities to deduct state and local taxes from their federal filings; making people in high-tax states likely to pay more on their annual tax bill.
“The elimination of full state and local deductibility is a blatantly partisan and unlawful attack on New York that uses our hardworking families and tax dollars as a piggy bank to pay for tax cuts for corporations and other states,” Cuomo said in a statement. “This coalition will take the federal government to court to protect our residents from this assault.”
“Capping the State and Local Tax deduction had nothing to do with sound policy,” added New Jersey Governor Phil Murphy. “It is a clear and politically motivated punishment of blue states — like New Jersey and our neighbors —who already pay far more to the federal government than we receive.”
Cuomo’s lawsuit is the latest instance of Democratic leaders struggling to stop the President’s tax overhaul. Earlier this month, California announced its intention to “seize” half the tax cut revenue of all corporations earning over $1 million.