Stocks Tank As Brady Confirms SALT Deductions Will Stay In House Bill

Tyler Durden's picture

US equities just legged lower - led by tech-heavy Nasdaq - after Ways & Means Committee Chair Kevin Brady confirmed that The House Tax Bill will keep SALT deductions, implicitly lowering tax revenues (and thus a potentially smaller corporate tax cut).

Nasdaq is leading the drop...

 

Apple most notably extended losses on the headline...

 

And FANG Stocks are fading..

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mtndds's picture

Well that escalated quickly.

Paul Kersey's picture

SALT deductions are good for America's middle and upper middle class homeowners, but bad for the multi-billionaires and the multi-billionaire money changers. Keeping the SALT deduction should bring down the values of money changer/TBTF bank stocks. Perhaps the money changers will have to give up their deferred compensation plan loopholes, instead.

spastic_colon's picture

WTF are you talking about ZH?? stocks legged higher well before this news

Skeptophrenic's picture

What, you no like doom porn?

You (and anyone else reading this) should base your trading decisions off The National Enquirer before ever doing so based on information in a ZH article.

Don’t get me wrong...ZH has plenty of informative posts, but that info is already baked into the market, thus having 0 contribution toward a successful trade.

eclectic syncretist's picture

Stocks, a.k.a. the Federal Reserve's last bastion of legitimacy, are dead men walking.

M O B's picture

ZH loves posting 1min charts with ludicrous headlines like "OIL PLUNGES PRECIPITOUSLY IN PREPSTEROUS PANIC," while oil is actually up .5% for the day. I don't know if Tyler is that dumb, or just the drug addled weirdos he hires to composit "news" from other places.

 

Two-bits's picture

All bluster. The tax bill is DOA 

Hey free shitter, what is the score? 0-14?

Does that mean he gets the #1 draft pick from the swamp?

FreeShitter's picture

Yea he's 0-14 so far, if he can get Ivanka Sex dolls made .....then 1-14  /s.

Last of the Middle Class's picture

Take out SALT deductions and it becomes a tax INCREASE for 90% of the middle class, to say nothing of making the NAR's head explode. How are they going to launder illegal foreign funds wihout the deduction? Their timing is way off, they're supposed to change the bill minutes before it's voted on thus avoiding consumer blow back for passing an actual tax increase. 

 

Sliced into ribbons's picture

Sure, but the tax cuts will dribble down Trump's leg for us to fight over at some point in the future.

Sliced into ribbons's picture

How can you guys trash talk the tax cut plan? Our Lord and Savior, Donal Trump, has said its the best plan. You're not disagreeing with him are you comrade?

lester1's picture

Put back to 15% border adjustment tax and lower the corporate rate to 15%

that is a fair exchange !!

GunnerySgtHartman's picture

I'd like to see a 15% tax on all remittances to Mexico ... those illegals are working in the US tax-free, make them pay their fair share!

Snaffew's picture

any western union or money wiring centers should require a 20 percent federal excise tax if you don't have a valid social security number.  Any money being wired out by illegals will be taxed appropriately.  i don't understand why they don't do this---it will eliminate a lot of bellyaching from 'Muricans.

Winston Churchill's picture

What you'll get is a 15% national VAT if you go down that route.

Be carefull what you wish for,you'll get it good and hard.More tax not less.

Md4's picture

"The House Tax Bill will keep SALT deductions, implicitly lowering tax revenues (and thus a potentially smaller corporate tax cut)."

Fine.

No tax bill then.

saldulilem's picture

Pearl, I talked to my doctor about you yesterday, and he agrees with me you've got to cut down on the salt.

ReturnOfDaMac's picture

Tis just a flesh wound, bullish, BTFD!

Snaffew's picture

flesh wound?....it's barely a scrape----it's as if the wind blew some dust on the arm of the indexes

ReturnOfDaMac's picture

Indeed, everyone knows that stocks only go up!

 

nsurf9's picture

Please take notice:  No body, county, state or foreign government (even when working abroad) gets to rip out the first, best, pound(s) of flesh from the US sheepel-citizens, but the US Government.

agstacks's picture

Checks and sees S&P has "crashed" a quarter of a percent. 

Fundies's picture

Enough of this tank talk. 

buzzsaw99's picture

over the past six months stocks have moved over 800 times on news and rumors of shit that as it turned out never happened.  amusing.

jtmo3's picture

Knowing what we know about the casino and CB's not allowing stocks to drop, what idiot would title a headline with stocks tank? When the CB's lose control of this market, you and everyone in the world will know it. It hasn't happened and it's not going to without a very specific major event happening. I swear this place is becomming a pain in the ass. With all the fucking pop up adds, it's hard to keep reading all the doom news that just never pans out. It might just be time to move on. Nothing like coming here and seeing a headline that says stocks dump or stocks tank and then you check the market and it's down like 2 points or finishes green. 

haruspicio's picture

Killing SALT off will help me as I am resident in NJ which has outrageous property taxes and a high State income tax....but I am about to sell my last property there and get the hell out moving to a low tax state. My ex is also moving out of state saving her lots of money.  We are retired and pay over $30,000 in SALT each year on 3 properrties plus state income tax. The taxes are so high that you can make almost nothing by renting a palce out that has no mortgage. The greedy bastards have had enough of my money so bye bye NJ.

NJ has a huge unfunded liability for state and local pensions and who can it come to to fund this? Either the feds which means that I as a federal taxpayer pay for it.....or they come to the taxpayers in the state....I can't avoid the former even by moving abroad, but I certainly don't wish to risk being in the latter group.

Joe Pugutz's picture

I'm happy with doubling the standard deduction.  Can't itemize as it is.

dunce's picture

They don't have to eliminate SALT they can cut the deduction above a certain point. We are not wqual under tghe law as long it exists.

dunce's picture

They don't have to eliminate SALT, they can cut the deduction above a certain point. We are not equal under the law as long it exists.