House Democrats modify SALT provision in spending bill – The Hill Leave a comment

© 1998-2021 Nexstar Media Inc.
All Rights Reserved
House Democrats late Thursday modified the provision in their social spending package that would raise the cap on the state and local tax (SALT) deduction.
The new version of the provision would raise the cap from $10,000 to $80,000, and have the limit be in place at that level through 2030. The cap would then return to $10,000 for 2031.
A previous version of the bill would have set the cap at $72,500 through 2031.
The change to the SALT deduction provision came as lawmakers were making last-minute adjustments to the spending package before an expected vote on Friday.
The $10,000 cap on the SALT deduction was created by Republicans’ 2017 tax law, and is set to expire after 2025. 
Democrats from high-tax states such as New York and New Jersey have been pushing to undo the cap, arguing that the limit hurts their states and residents. But the issue is challenging for Democrats because a full repeal of the cap would largely benefit high-income households.
Sens. Bernie SandersBernie SandersManchin says he won’t vote to overrule Senate parliamentarian Democrats take on Manchin, make renewed push for family leave House, Senate Democrats offer different approaches on SALT MORE (I-Vt.) and Bob MenendezRobert (Bob) MenendezRepublicans raise concerns over Biden’s nominee for ambassador to Germany Biden sets off high-stakes scramble over spending framework Why is Trump undermining his administration’s historic China policies? MORE (D-N.J.) have criticized House Democrats’ approach on SALT and have proposed an alternative way to make changes to the cap. The two senators are proposing leaving the cap at $10,000 but exempting taxpayers with incomes under a level between $400,000 and $550,000.
View the discussion thread.
The Hill 1625 K Street, NW Suite 900 Washington DC 20006 | 202-628-8500 tel | 202-628-8503 fax
The contents of this site are © 1998 – 2021 Nexstar Media Inc. | All Rights Reserved.


Leave a Reply

Your email address will not be published. Required fields are marked *