The New York State Department of Taxation and Finance has submitted recommendations to Governor Andrew Cuomo to change the state tax code in order to minimize the impact that the federal Tax Cuts and Jobs Act (TCJA) will have on wealthy New Yorkers. The TCJA caps state and local tax deductions (SALT) at $10,000 per year, a figure that is easily surpassed in many if not most of the high-tax “blue” states around the country, of which New York is a leader. Governor Cuomo announced right after the TCJA was signed by the President that he was looking at possible ways to thwart its impact on the state’s residents. This latest plan would eliminate the state income tax on wage earners and replace it with a wage tax on employers. New York is one of 12 states whose wealthier residents would be negatively impacted by TCJA because of the high state tax burden – watch for the others to follow.