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House Republicans crafting the renewal of President Trump's 2017 tax cuts may add multiple
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measures that would raise taxes on businesses, corporations, and the richest people in the
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country. The proposals include ending tax breaks for sports team owners and increasing the tax on
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stock buybacks. According to a report in Punchbowl News, the House Ways and Means Committee is
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considering multiple options to offset the projected revenue loss from tax breaks for
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individuals and corporations. Legislators may eliminate a tax break that comes when purchasing
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a sports team. Using amortization, owners can deduct the cost of purchasing the team from their
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taxes over a 15-year period. Lawmakers could raise the current 1% tax on stock buybacks
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A new rate has not been made public. They could also raise the 1.4% endowment tax on universities
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The tax was first created in 2017. It's not yet known what the higher rate could be
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They could also put a new cap on state and local tax deductions for businesses
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Republicans in blue states could have a lot of influence over this bill because their votes are needed to pass it
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and their seats are needed if Republicans are to hold the majority after the 2026 midterms
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Those Republicans are using that leverage to get the individual state and local tax deduction, or SALT, included
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The 2017 Tax Cuts and Jobs Act lowered the individual state and local deduction from $25,000 to $10,000
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This allows people to claim local taxes as a write-off on their federal return
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and it's particularly important to those in high-tax states like New York, New Jersey, and California
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Republicans in those states are pushing hard to get this included, and it's been a point of contention ever since
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I'm Ray Bogan for Straight Arrow News. For more reporting, download the SAN app
