Jerry Pohorsky, an engineer in Santa Clara, might put off his plans to buy a new electric vehicle if a federal tax credit gets cut.
As Republicans square the last details of President Donald Trump’s massive tax overhaul before a final vote in Congress, many Bay Area residents are running the numbers and worrying that they’ll end up paying more.
The plan is the biggest rethinking of America’s tax code in a generation, though it’s still a work in progress, with a congressional committee ironing out differences in versions passed by the House and Senate. For many people around the country, it will mean lower tax rates and a simplified filing process. Trump and other supporters say it will jump-start the economy and generate jobs.
California’s high taxes and the Bay Area’s high home prices will likely make the region one of the most adversely affected places in the country, and accountants and tax experts say there’s not much taxpayers can do to avoid it.
The rest of America is tired of subsidizing California’s tax system. Reality is finally sinking in on the West Coast.