New York, New Jersey and Connecticut aren't backing off from a legal fight with the Treasury Department and the Internal Revenue Service
The three blue states filed a lawsuit in federal court in New York challenging the constitutionality of the Trump administration's decision to block a workaround that would have helped high-tax areas to bypass a $10,000 limit on federal deductions for state and local taxes.
Read More"The regulation is based on a longstanding principle of tax law: When a taxpayer receives a valuable benefit in return for a donation to charity, the taxpayer can deduct only the net value of the donation as a charitable contribution," the Treasury Department said in a statement.
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