tag:blogger.com,1999:blog-6534665086749553287.post4749127755229359383..comments2024-03-29T04:34:05.185-04:00Comments on CURMUDGUCATION: FL: Another Voucher Problem (And Not The One You Think)Peter Greenehttp://www.blogger.com/profile/16511193640285760299noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-6534665086749553287.post-8005022576938645582020-01-30T10:36:06.328-05:002020-01-30T10:36:06.328-05:00Last year's tax changes included a provision t...Last year's tax changes included a provision that only $10,000 in state and local taxes can be deducted on a federal income tax return. Some states said, "if you will donate the amount of your property tax and state income tax, we will give you an equal tax credit to apply against your taxes.". That would allow someone with $20,000 in those taxes to claim them all as charitable donations, circumventing the limit.<br /><br />The IRS subsequently ruled that if you get dollar-for-dollar tax credit, then it is not a deductible expense. The same rules apply to corporations that get tax credits for donating to Florida private school vouchers.<br /><br />With no tax break, the carrot is gone. I imagine the bean counters and tax attorneys at Wells Fargo caught on quickly.SteveAhttps://www.blogger.com/profile/17814712582099633546noreply@blogger.com