Reed Says Spending, Not Tax Bill, Is Issue

The burden on New York state taxpayers in is not due to the GOP tax bill, but due to high government spending, according to U.S. Rep. Tom Reed. Reed, R-Corning, said the latter in response to Gov. Andrew Cuomo’s announcement of a coalition looking to sue the federal government regarding the federal tax bill.

Cuomo recently announced that New York would be joining forces with New Jersey and Connecticut to challenge the bill, which eliminates the ability to fully deduct state and local taxes.

Reed said the governor can do “whatever he wants.” However, Reed said his hope is that Cuomo will recognize and address the root of the issue.

“Spending is driving the problem,” Reed told reporters in a conference call. “Spending has to be reduced.”

If state spending is reduced, Reed said the taxburden on New Yorkers could also be decreased.

The tax bill targets New York state unfairly, according to the governor.

“New Yorkers will not stand idly by as the federal government fires an economic missile at the fiscal health of our state,” Cuomo said. “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. This coalition will take the federal government to court to protect our residents from this assault.”

According to Cuomo, the elimination of full State and Local Tax (SALT) deductibility will cost New York taxpayers an additional $14.3 billion a year.

In other news, Reed discussed the new proposal from the Problems Solvers Caucus which addresses the budget impasse, Deferred Action for Childhood Arrivals and border security measures. DACA is a program that began in June 2012 that offers deferred action on removing or deporting those who come to the United States as children for a period of two years, according to the U.S. Citizenship and Immigration Services department.

Reed said the Problem Solvers’ plan took three to four months to complete and includes a pathway to earned citizenship, appropriations of $1.5 billion for barrier infrastructure planning, design and construction and would eliminate the diversity visa lottery. The diversity visa lottery is a program that awards about 50,000 green cards to people from countries that don’t have many immigrants.

Reed said about 200 of those who fall under DACA reside in the district.

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