Several states already allow to to contribute to a state charity and get a 1:1 write off on your state income tax. It’s mostly red states who use it as a way for people to pay for private school. Now that blue states want to use the same loophole, it appears to be an issue...

Funny, it’s almost like Republicans hating double taxation forever with regards to the estate tax, but now that’s it’s politically convenient for them to have double taxation (pay your federal tax on money you already paid to the state), they do it. Whatever happened to the party who supported state government over the federal one? I would much rather contribute most of my money to the state govt, and only give the federal govt money for defense and a few very basic services. But now the GOP is saying that the federal govt should get more of your money, and your state govt should get less by lowering your state income tax. This is why my voter registration switched from Republican about 10 years ago. I cannot handle the hypocrisy. As a Texas boy born and raised, I never thought I would see the day.

I guarantee you that this year, CA and several other states will pass bills allowing a state charitable contribution to happen. It’s very possible that the IRS may find a way to put a stop to this, At which point, CA would shift a chunk of their income tax to a payroll tax deduction which is a write off to the employer. This is also used by several states. This I do not believe the IRS can stop. One way or another, I believe CA and several other states will go back to the almost 100 year status quo of no double taxation of state income tax and federal income tax.