WASHINGTON, DC – The President’s Advisory Panel on Federal Tax Reform today issued its recommendations for changing the federal tax code.  Congresswoman Nita Lowey (D-Westchester/Rockland) issued the following statement on the report:

“I support efforts to create a simpler, fairer tax code, but I have grave concerns that the recommendations of this report would disproportionately penalize New Yorkers. 

“The Advisory Panel has chosen to completely abolish several deductions that directly affect the middle class.  For New Yorkers, in particular, the elimination of deductions of state and local taxes would drastically increase tax burdens and skew a tax code that already takes more from our state than we get back in federal programs and projects.  Reducing the mortgage deduction and limiting deductions for health insurance would also harm residents of Westchester and Rockland Counties where the cost of living is higher than most of the rest of in the country. 

“Furthermore, while it is important that we address problems with the Alternative Minimum Tax (AMT), which is bearing down on the middle class, we should reform it rather than abolish it.  I’ve introduced legislation that would exempt income from the AMT up to $100,000 and peg that number to inflation to make sure that we restore the AMT’s purpose of ensuring fairness in the tax code.

“The costs of tax simplification should not be primarily borne by New Yorkers.  Yet these recommendations would have a much greater impact on our state than many others.”