SALT Deduction Scam: Blue States Get the Break, Red States Get the Bill
By Lindsey McPherson | The Washington Times
Republicans putting together a sweeping tax and spending package are struggling to resolve an intraparty debate over the amount of state and local taxes taxpayers should be able to deduct from their federal tax liability.
The debate over the deduction, known as SALT, is pitting House Republicans from Democrat-majority states against fiscal conservatives.
Republicans must find a compromise to pass President Trump’s One Big Beautiful Bill Act.
The SALT deduction is claimed by the roughly 10% of taxpayers who itemize. The 90% who claim the standard deduction do not benefit from the deduction.
Taxpayers can currently deduct up to $10,000 of state and local taxes from their federal taxable income. Itemizers must choose between deducting...