WASHINGTON (AP) — The governors of New York and New Jersey, along with a state senator from California, are decrying new rules from the Trump administration that aim to block high-tax states from getting around a cap on state and local deductions.
New York Gov. Andrew Cuomo is calling the moves politically motivated and he’s threatening to sue the federal government over it. New Jersey’s Gov. Phil Murphy says the state is also weighing its options to take legal action. California State Sen. Kevin de Leon says he expects the state to sue.
All three are Democrats who say the rules are politically motivated to attack Democratic-leaning states whose residents could see substantial increases in their federal tax bills next spring because of the $10,000 cap.
Republicans have said those states should reduce their taxes instead of fighting the administration.