What Is SALT Cap? How Is SALT Cap Formed?

The Senate’s Inflation Reduction Act is headed to the House this week — Speaker Nancy Pelosi is "quickly convening" her troops — and it looks as if a debate over the SALT tax cap won’t prevent or even delay final passage.

“SALT” refers to the state and local taxes that taxpayers can deduct from their gross annual income when filing federal taxes. The 2017 Republican tax scam capped those deductions at $10,000 through 2025. The IRA has no provisions for eliminating or even raising the cap, which Sen. Joe Manchin dismissed as a tax "loophole.” Of course, it wouldn’t really apply to most people in West Virginia.

For the past couple years, several House Democrats have insisted that any spending bill must also lift the SALT tax cap. “No SALT. No deal” was their mantra, which conflicted with the more traditionally progressive “tax and spend” not “spend but tax slightly less in high-income, high-tax states.” The former does fit more easily on a tee-shirt.

Rep. Mikie Sherrill from New Jersey was so focused on removing the SALT cap that she declared last summer the “Summer of SALT.” (I imagine her biting into a big hunk of salt like it was an apple.) She’s now OK with this summer ending with the SALT cap in place. In a statement announcing her support for the IRA, she said: "I will also remain steadfast in my commitment to ensuring that any discussion of reforms to the 2017 tax law begins with addressing SALT. Because this legislation does not raise taxes on families in my district, but in fact significantly lowers their costs, I will be voting for it.”

Keep reading...Show less

Good Morning, Donald Trump. Welcome To F*cking Around And Finding Out!

That wailing sound you hear is every Republican between here and the new condominium community between Viktor Orban's buttcheeks just SCREAMING that if they can do this to Donald Trump, they can do it to YOU TOO!



To which we reply that yes, if you have spent the last six years committing 34 crimes before breakfast every single day, many of them in plain fucking sight, and if you in a very public way incited a terrorist attack against America to overturn a free and fair election because you were too much of a scaredy chickenshit to admit you were a fucking loser, then yes, it is possible that at some point the law might start to catch up to you.

The FBI carried out a legal search warrant at Donald Trump's Mar-a-Lago trash palace in Palm Beach yesterday. (And no, Ron DeSantis, and you too, fucking Maggie Haberman, we are not suddenly calling Mar-a-Lago "MAL" like we have been using that as an acronym this whole time, places where Don Jr. and Eric probably still get accident boners in the swimming pool don't get code names like they're fucking military installations.)

We now live in a world where the FBI has raided the home of a former president of the United States. If we were worried Attorney General Merrick Garland didn't have the heavy swinging testicles to do what needed to be done here, that bird has now flown, that Rubicon has been crossed, there's no going back.

Keep reading...Show less

After Trump’s FBI Raid Republicans Go All F**k Tha Police

The FBI executed a legal search Monday on Donald Trump’s tacky Florida McMansion. He wasn’t shot in his sleep or anything, but nonetheless Republicans are insisting this is the most disgusting, atrocious thing to ever happen in America. Donald Trump is now Republicans' George Floyd, except for how he’s still alive.

Look, the MAGA faithful even gathered at Trump’s residence for a White Assholes Matter rally. Guys, he’s OK!


Shortly after Trump whined about the FBI’s search, the Republican House Judiciary account tweeted with zero self awareness: "If they can do it to a former President, imagine what they can do to you.” Forced-birth activist Abby Johnson shared a similar sentiment: “If the FBI can go after a President, they can come after any of us.” That’s the whole point of a liberal democracy. The law treats everyone equally, regardless of status.

In a just society, a wealthy, powerful person would see the police brutalizing someone on the street and think, “If they could do that to any human being, they could do that to me.” Instead, most American rightwingers take comfort in a class hierarchy where law enforcement oppresses the marginalized and lets the powerful do whatever the hell they want. That’s their selective definition of freedom.

Keep reading...Show less

Republicans Losing Their Sh*t Over IRA Bill. What Fun!

My perhaps simplistic take on legislative politics is that anything that makes Mitch McConnell cry is good for the American people. Remember how grumpy he looked when the late Senator John McCain foiled his attempt to deny millions healthcare? He’s possibly even more pissed now that Joe Manchin went full Democrat on him.

After Democrats passed the Inflation Reduction Act, McConnell released this melodramatic, lie-filled statement. I imagine him weeping while furiously pounding keys on a manual typewriter.

The last time Senate Democrats tried to remake the economy on party lines, they shoved American families into the worst inflation in 40 years. Democrats got all-you-can-eat liberal spending and working families got stuck with the bill.

Some economists have suggested that the American Rescue Plan might’ve contributed to the nation’s high core inflation. However, others believe that it helped saved the pandemic-pummeled economy. Republicans are in no position to quibble since their “solution” was do nothing and let people starve.

The Republicans’ problem here is that the Manchin-Schumer bill is called the “Inflation Reduction Act,” as in “this bill will reduce inflation.” Manchin repeatedly stated that he tanked Build Back Better because of concerns about inflation, and only the most brainwashed Fox News viewer will believe that Manchin no longer cares about inflation and wants to pass “all-you-can-eat liberal spending.” It’s gotten so bad for Republicans that they’ve resorted to quoting Bernie Sanders, who suggested the bill would have a “minimal impact on inflation.” As if people with their own bank accounts listen to Bernie. (I kid! I kid!)

No, seriously, they’re asking their voters to trust the socialist instead of the coal baron with his own house boat. The average right-wing brain can only take so much abuse.

Keep reading...Show less

No, Alex Jones, *Morally* Bankrupt Doesn't Count!

This week isn't any better for the beloved broadcaster than last!

This morning, Alex Jones's parents, David and Carol Jones, entered an appearance in the bankruptcy case filed by Free Speech Systems (FSS), the parent company of Jones's Infowars network. David Jones, a dentist who bankrolled his son's foray into broadcasting by sponsoring his first radio show, has long been involved in managing Infowars. And now he's coming into this bankruptcy as a "creditor."

According to the accountant shepherding Infowars through bankruptcy, David manages PQPR Holdings Limited, a Nevada LLC. PQPR sells vitamins and supplements, like Super Male Vitality, Super Female Vitality, and of course Z Shield. Except for a long time, PQPR just gave them away to Infowars, which sold them on to Jones's deranged listeners and pocketed the proceeds. But then in 2020 PQPR remembered that it should probably send along a bill for all those pills, so in 2020, FSS executed a promissory note for $30 million in favor of PQPR. And in 2021, it executed a second note for $25 million.

Also in 2021, Alex Jones and FSS's egregious refusal to cooperate with discovery netted them "death penalty sanctions" in the form of default judgments in Sandy Hook defamation suits in both Connecticut and Texas, virtually ensuring that Jones and the company would be faced with tens if not hundreds of millions of dollars in damages.

Coincidence? Probably not!

Keep reading...Show less
National Politics

Inflation Reduction Act’s Gonna Make Sure Rich People Pay Their Taxes. What Is This, VENEZUELA?

Let the rightwing tax-evading whinefest commence!

Now that Darth Garland’s grand inquisitors have raided Donald Trump’s Florida flop house, Republicans are also warning Americans about Emperor Joe Biden’s IRS stormtroopers. Yes, Democrats are amassing an army of 87,000 agents for the Internal Revenue Service, and they’re coming for YOU! an average person who fills out the EZ-BROKE-ASS form.

Marco Rubio, who sounds more like your annoying rightwing brother-in-law than an actual sitting United States senator, tweeted Monday: “After todays (sic) raid on Mar A Lago, what do you think the left plans to use those 87,000 new IRS agents for?"



If you’re wondering what possible connection a legal FBI search could have with a proposed staff increase at the IRS, congratulations, your brain’s not permanently damaged by repeated exposure to Tucker Carlson.

The Republicans’ repeated claim about “87,000 IRS agents” is what those in the fact-checking game would call “bullshit.” Yes, the Inflation Reduction Act, the Democrats’ badass climate, healthcare, and tax package, will provide the IRS with about $78 billon over the next 10 years. That includes a spooky $45.6 billion set aside for “enforcement.”

BUT, as Time reports, the IRS would use the funds to hire an estimated 87,000 employees by 2031. Most of those hires wouldn’t be Internal Revenue agents or even new positions.The IRS isn’t building an army of tax collectors. It’s slowly restoring its staff to where it was a decade ago. During the Trump administration, there was a systemic GOP effort to weaken the agency. Trump himself is a shameless tax evader.

PREVIOUSLY: Hey, We’ve Got Us A Big Climate, Tax, Healthcare Bill. Thanks, Joe Manchin!

Keep reading...Show less
popular

WONKETTE VS THE MONSTERS!

Scary monsters! Scary monsters!

It's a good morning at Wonkette Manor, with the fine people of Kansas (no, we don't live there) making us feel Extra Way Better About The State Of The World. And because we feel Extra Way Better About The State Of The World, we're not embarrassed to shriek OH NO MONSTERS, or rather, OH NO WE HAVEN'T PAID US IN THREE MONTHS AND ALSO WE'VE BEEN PAYING THE SITE EXPENSES OUT OF POCKET AND OH NO THE HOUSE MONEY IS GONE AND THE CAR MONEY FROM INSURANCE TOTALING OUT OUR PRIUS IS GONE (poor deer) and of course by "us" I mean Shy and me, we would never not pay our staff or freelancers or bills, what are we, THAT LAST SHITHEAD FROM THE WHITE HOUSE? We are not.

So here's the deal. We are not laying anyone off, ever, and we are not reducing our delightful freelancers, ever, so I don't have an OR ELSE to lay on you except "I am going to have to put everything on credit cards again, some more, it's a good thing that last shithead from the White House made me rethink my relationship to debt, i.e., I should have more of it!"

If you are in a financial squeeze with the inflations or the poor, please do not send Wonkette money. If you are already sending Wonkette money, please do not send Wonkette more money (unless you really seriously want to, you are already the attractive ... midshipmen?? in Starship Troopers, DOING YOUR PART). But if you are not in one of the preceding two categories, and you appreciate having Wonkette around and me not dying of MONSTERS, please (PLEASE!) consider starting a recurring donation with the widget below. Click an amount, click "monthly" if you can, and then click "paypal" (paypal) or "stripe" (all credit cards).

Look! A widget!

How often would you like to donate?

Select an amount (USD)

And our Patreon, if you like wee gifts for your money!

Keep reading...Show less
Donate

How often would you like to donate?

Select an amount (USD)