By: Chuck Quirmbach of Wisconsin Public Radio

Wisconsin U.S. Rep. Jim Sensenbrenner says he thinks the current GOP tax overhaul effort will be changed to protect some state and local tax deductions. 

The tax measure is slated to be unveiled in the U.S. House of Representatives this week. Sensenbrenner, a suburban Milwaukee Republican, says it seems clear from the House budget resolution debate last week that the plan will no longer propose fully eliminating the deduction for state and local taxes. 

"But I don't think it's going allow unlimited state and local deductions as the current law says. There's also been a proposal out there to give taxpayers a choice of taking the full state and local tax deduction, or a full mortgage interest deduction, but not both," Sensenbrenner said Saturday at a town hall meeting in Wauwatosa.

Several speakers at the meeting said they're worried the tax overhaul plan will be tilted toward the rich. Sensenbrenner told WPR Saturday that higher-income people will see some sort of tax reduction, "Because the top 10 percent pay 70 percent of the individual income taxes. I think the people who are complaining don't want any cut for the wealthy. I think if there is a cut for the wealthy, it's going to be relatively small proportionately."

Sensenbrenner said he wants to see the details of the tax measure due out this week before deciding whether to vote for it. He said his key principles are that taxes should be cut with most of the reductions for middle-income people. He said he also wants a simpler tax code.

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