ALBANY, N.Y. (AP) — The Democratic governors of New York, Connecticut, New Jersey, Oregon and Illinois are teaming up to fight a provision in the 2017 federal tax overhaul that they say is hurting their economies.
The five leaders met Friday in Washington, D.C., to discuss efforts to urge Congress to repeal the law’s $10,000 cap on the federal deduction for state and local taxes.
With the cap, residents in high-tax states could see substantial increases in federal taxes.
New York Gov. Andrew Cuomo says the cap could prompt wealthy residents to flee New York, contributing to a recent drop in state tax receipts.
New York is leading a lawsuit challenging the provision.
Republican President Donald Trump has praised the tax changes but says he’s heard it’s causing problems for some New Yorkers.
Copyright 2019 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.