Westchester Homeowners, Families Making Less than $500k Made Out the Best From Big Beautiful Bill

Lawler Votes Yes, Latimer No

By Dan Murphy

A Federal budget to keep the US Government open passed by the slimmest of margins just before the July 4 holiday, with Vice-President JD Vance breaking a 50-50 tie in the Senate and the House passing the budget bill by a 219-213 margin.

Westchester’s two Congressmembers, voted differently, with Democrat George Latimer a No and Republican Mike Lawler a YES.

Calling it a “cruel budget that will hurt people who can least afford it,” Rep. Latimer said: “President Trump and Congressional Republicans made a promise to bring down costs and help working Americans. Instead, they have pushed this tax scam that will make life more expensive for families who need Medicaid and SNAP to survive and give significant tax cuts to billionaires and the ultra-wealthy. All while adding $3.3 trillion to our national debt.

“196,000 people in my district who rely on Medicaid could have it taken away, including 73,000 children and 27,000 seniors. 74,000 people who rely on SNAP may not be able to put food on their tables, straining food banks that are already seeing high levels of need. New Yorkers will continue to pay more in federal taxes without a full restoration of the State and Local Tax deduction. And it guts environmental protections established by the Inflation Reduction Act.

“People will get sicker. Hospitals will close. Kids will go hungry. Families will pay more for gas and home electric bills while our world continues to warm due to climate change. No matter how you spin it, everyday Americans will suffer,” said Latimer.

Lawler explained that one of the biggest pieces of the budget bill that he and a few other republicans in suburban districts was a increase in the SALT (State and Local Taxes) cap. Currently, families and individuals could only deduct $10,000 in their property taxes and state taxes, on their federal tax return.

The new budget increased that amount from $10,000 to $40,000. “I made very clear when I came to Congress that this was a key issue, that we would fight to lift the cap. We have fought tirelessly for this.”

Lawler said that the changes to Medicaid will not affect most Americans. “We are saying to receive Medicaid benefits, if you are an able-bodied adult— you should try to work 80 hours a month. The bottom line there is people will have enough time to understand that that is part of the requirement moving forward, for those folks. But New York state has the most expansive Medicaid program in the country. New York is going to continue to manage this system, no, I’m not concerned about eligible recipients receiving their Medicaid.”

Illegal residents of New York will also have more difficulties receiving Medicaid under the new bill. Estimates have 1.2 million non-citizen new yorkers currently receiving Medicaid. The cost of the program is split between state and local governments.

There is an income limit for tax filers and their elibility for SALT. Those earning less than $500,000 are able to receive the $40,000 SALT benefit.

The bill also extended the “Trump tax cuts” of 2017. So those Westchester residents who benefitted from the Trump Tax Cuts of 2017, but lost their SALT deduction, now have both, the Trump tax cuts, and a SALT deduction up to $40,000 for those earning up to $500,000.

That is why, in our view, the income bracket in Westchester that made out the best from the Big Beautiful Bill are individuals or families who own a home and earn up to $500,000 per year.

The bill also delivered

  • NO tax on Tips.
  • NO tax on Overtime.
  • NO tax on Social Security.