The California Black Chamber of Commerce issued a statement this week from its President & CEO, Aubry Stone, in response to the passage of H.R. 1, which partially eliminates the state and local tax deduction (SALT), in the U.S. Senate by a vote of 51 to 49:
“The California Black Chamber of Commerce is disappointed that Congress is choosing to pursue tax reform in a haphazard manner and without any regard for struggling job creators and middle-income Americans in our communities.
“The state and local tax deduction is the most frequently used deduction in the tax code for the middle class, and with good reason: struggling men, women and families depend on those precious resources to help them with economic recovery and growth. Moreover, Black and other small business owners, most of whom are pass-through entities, are able to claim these deductions which, in turn, allow them to reinvest in creating jobs and supporting their local economy.
“Protecting and preserving SALT also means a continued investment in our kids’ future. According to the National Center for Education Statistics, on average 46% of public elementary and secondary education in the United States is tied to state income and sales taxes; this percentage is even higher in California, which gets 57% of its education funding from the states. Even a partial elimination of SALT will imperil school districts’ efforts to provide the vital resources, teachers and infrastructure desperately needed to give our young people the educational foundation they richly deserve.
“We call upon our fellow Californians to contact your representative in Congress today at www.house.gov/representatives/find-your-representative). Urge them to pass meaningful tax reform that keeps SALT intact and gives our young people, minority and other small employers, and American families the opportunity to survive and succeed – and the hope for a brighter tomorrow.