From NJ Spotlight:
Cindy Myers, the president of a moving company based in Mahwah, said she’s seen a big uptick in out-of-state moves in the past three years.
Her customers air a common complaint. “It’s taxes,” she said, “it’s ‘I can’t afford to live here.’”
Myers shared her story yesterday at a news conference organized by U.S. Rep. Josh Gottheimer (D-5th), who wants to bring attention to the real-world impact of SALT, a new cap on federal income-tax deductions for state and local taxes.
The $10,000 SALT cap was enacted by President Donald Trump in 2017 as part of a broader overhaul of the tax code. But many taxpayers are just feeling its pinch for the first time this month, as they file federal returns under the new rules, only to learn that the new limit means they owe the feds more money.
“Our phones in our office, my phone is ringing off the hook with people saying, ‘Wait a second, what is going (on) here?” said Gottheimer, who’s introduced legislation seeking to rescind the cap.
The deduction was worth as much as $24,783 on average for those who took it in Bergen County, where Myers’ moving company is located. But even though she says out-of-state moves have tripled in recent years, it’s too soon to determine how the SALT cap is affecting the broader New Jersey landscape.
Ilene Horowitz, president of New Jersey Realtors, also spoke at the news conference yesterday, saying that 2018 was a strong year for the state’s real-estate market, although she did raise concerns about the potential impact of the cap.
“Professionally speaking, for 2019, I think it’s too soon to see the effects of SALT,” Horowitz said.