Volume 6 No 9    |    Read Article

By Nina Krauthamer and Lisa Singh

Several high-tax states – whose taxpayers are negatively affected by the T.C.J.A.’s $10,000 cap on the Federal deduction for state and local taxes – have instituted a legal challenge that is working its way through the courts. On the last day of September, the U.S. District Court for the Southern District of New York ruled against the states under long standing authority that the Congress has broad power to eliminate tax benefits previously granted. However, this may not be the end of dispute. Nina Krauthamer and Lisa Singh, an extern at Ruchelman P.L.L.C. and a student at New York Law School, recap the ongoing saga and the latest results.   See more →