JOLIET – The Will County Board will look to develop a resolution formally announcing its opposition to a Trump administration and House GOP proposal.
Current tax reform ideas by the two federal groups call for an end to the state and local tax deduction, also known as the SALT deduction, which allows taxpayers to deduct their state and local property taxes and either state income taxes or general sales
More than 125,000 middle-class families in Will County save an average of $2,000 a year through the SALT deduction, according to a news release from the County Board.
County Board Finance Committee Chairman Mike Fricilone, R-Homer Glen, recently was on Capitol Hill on behalf of Will County and the National Association of Counties, defending the merits of the 104-year-old SALT deduction.
NACo recorded a video message of Fricilone that was sent out to all counties across the country that are members of the NACo to raise awareness. Fricilone said a new report shows the significant amount of double taxation that would hit residents in counties across America if the SALT deduction were repealed.
“This could put downward pressure on counties to adjust our taxes and impact the vital services we provide, including 911 emergency services, road and bridge repairs and economic development,” Fricilone said. “We commend Congress on the efforts to enact comprehensive tax reform, and we know it’s hard, but we urge lawmakers not to balance this effort on the backs of state and local governments and to maintain this deduction that has stood since the tax code was founded in 1913.”
Fricilone said Thursday that
wiping out the SALT deduction would harm those in Illinois because income tax and real estate tax would be eliminated from federal deductions.
It also might prevent people from reaching the level at which they can begin itemizing deductions at all.
“Which would mean your mortgage interest and charitable deductions would not be deductible as well,” Fricilone said.
Congress asked Fricilone and others from Virginia and Ohio questions, and he relayed that the SALT deduction removal also would hurt housing development in the future.
“At the finance committee meeting next month, we want to bring a resolution forward in defense of keeping the SALT deduction, which was one of the first six deductions included in the 1913 tax law,” he said.
County Board Speaker Jim Moustis, R-Frankfort, said Congress was very conscious of double taxation when the code was written.
He asked board members to contact area congressmen in defense of the SALT deduction.