Trumps big, beautiful bill could force NY businesses to shell out billions more in taxes heres why

A little-noticed provision in President Trump’s spending bill would require New York’s top-earning firms to shell out billions of dollars in extra taxes each year – and experts say it could accelerate a business exodus that has already slammed city and state coffers, The Post has learned.Tucked away in Trump’s 1,100-page “big, beautiful bill” for federal tax cuts is a one-sentence proposal to curtail workarounds to the SALT cap that took the form of pass-through entity taxes, known as PTET, that grants about $16 billion worth of personal income tax deductions each year to New York service businesses — among them lawyers, accountants, doctors, dentists and veterinarians.Amending the PTET loophole looks like an attempt by GOP lawmakers to offset a proposed restoration of SALT deductions on state and local taxes — massive breaks enjoyed by New Yorkers that Trump had controversially downsized during his first presidential term, according to tax experts.“That’s absolutely what’s going on,” said EJ McMahon, a fellow at the Manhattan Institute for Policy Research.“There’s a great tension that’s been created by this.”The Republican spending bill, which the House Budget Committee advanced on Sunday, calls for raising the current SALT deduction cap to $30,000 from $10,000 for those making less than $431,000 annually.The problem, however, is that by curtailing PTET, the city’s top-earning accounting, finance and law firms would effectively see their taxes jump by as much as six percentage points — even with a hike in SALT deductions, according to a former partner at a national CPA firm who requested anonymity.Currently, a partnership or other non-incorporated business paying a 10% tax could reduce it to about 4% using PTET, the source explained.“If a company was on the verge of moving, this could be the tipping point.

This could be the final straw,” Bobbi Rebell, a personal finance expert, told The Post.That’s because New York’s...