TO: Honorable Mayor & Members of the North Port Commission
FROM: Peter D. Lear, CPA, CGMA, City Manager
TITLE: Letter of Support for Protecting the State and Local Tax Deduction
Recommended Action
Approve letter be sent to Congressman Rooney and Senators Rubio and Nelson, urging to preserve the State and Local Tax Deduction
Background Information
The National League of Cities (NLC) is calling on Congress and the President to preserve the state and local tax (SALT) deduction. Through the SALT deduction, local residents can claim what they paid in state and local income taxes, as well as local property taxes, as a deduction on their federal income tax. This allows local governments the flexibility to raise needed revenues without concerns of double taxing their residents. Repealing the SALT deduction would put tremendous pressure on local governments to lower taxes and endanger already strained budgets. With state limitations on local governments’ ability to raise revenue, eliminating the state and local tax deduction would further preempt local control.
The NLC is recommending that cities send letters of support for the SALT deduction to their federal representatives. Attached is a sample letter.
Strategic Plan
Financially Responsible City Providing Quality Municipal Services
Financial Impact
N/A
Procurement
N/A
Attachments:
1. NLC Letter regarding SALT 2017
2. SALT-State League Sample Letter
3. Email from Mayor Yates requesting agenda item
Prepared by: Pete Lear
Department Director: Pete Lear