Rep. Nicole Malliotakis said Monday that President-elect Donald Trump supports efforts to raise the state and local tax deduction cap and oppose New York’s congestion pricing plan,
Malliotakis, who attended a weekend meeting at Mar-a-Lago in Florida with Republican members of the New York delegation, said Trump’s stance on the SALT cap—created during his administration in 2017—has shifted because of rising taxes in New York.
“In 2017, the focus was on doubling the standard deduction. It was on doubling the child tax credit. It was an across the board decrease in the federal income tax rate,” she said during an interview on “Mornings On 1” Monday.
“There’s nothing stopping our governor and our mayor from lowering the personal income tax rates in New York, and they should. And quite frankly, the property tax in New York City, the property tax levy increases year after year after year,” she said. “But we're trying right now to find a federal solution, working with President Trump to see how we can provide relief from the federal level, and that would start by increasing the SALT deduction, which, right now is capped at $10,000.”
Malliotakis, who represents Staten Island, said that any increase to the SALT cap would aim to benefit middle-class taxpayers.
“In 2016, the last time the SALT deduction was available, the average SALT deduction for people with income between $200,000 and $500,000 was roughly $23,000, which would be around $30,000 today. So we want to tailor this. We're not looking to give a break to the very wealthy. What we're trying to do is help middle-class families,” she said.
Malliotakis described the meeting as productive and focused on shared concerns among high-tax states, particularly New York, where Trump used to live.
“He's a New Yorker at the end of the day. [He] may live in Florida now. He's really a New Yorker, and he understands these issues and how they're impacting our city's economy, how they're impacting the residents that we represent, and he wants to help and be a partner in resolving this,” she said.
Malliotakis also said Trump continues to oppose congestion pricing in New York, saying he is going to seek to reverse it when he takes office.
"He says that he wants to reverse it,” she said. “We're working with him on the legal options, I believe he can come in, halt the program and require that this thing be studied further.”