California taxpayers... averaged $33,901 in deductions, in part because they claimed the U.S.'s highest average mortgage break, $15,755.Does this make the limiting of deductions less fair than raising tax rates? Don't the same people who have those big deductions also have higher incomes? Aren't these places where everything is more expensive? It's perverse that these are the blue states, and it's the Democrats who want to raise taxes.
After California, the highest average itemized deductions—all over $28,000—were claimed by taxpayers in New York, the District of Columbia, Connecticut, New Jersey, Maryland and Massachusetts. All have high state, local and property taxes, which may be deducted from income on federal returns, although other tax provisions already limit some deductions.
November 19, 2012
The Wall Street Journal explains: