{"id":121435,"date":"2021-09-15T13:54:09","date_gmt":"2021-09-15T13:54:09","guid":{"rendered":"https:\/\/fin2me.com\/?p=121435"},"modified":"2021-09-15T13:54:09","modified_gmt":"2021-09-15T13:54:09","slug":"house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap","status":"publish","type":"post","link":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/","title":{"rendered":"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap"},"content":{"rendered":"<ul>\n<li>House Democrats confirm they will pursue \u201cmeaningful\u201d change to the $10,000 limit on the federal deduction for state and local taxes.<\/li>\n<li>The measure has been a sticking point in negotiations among lawmakers in high tax states.\u00a0<\/li>\n<li>However, repealing the cap on the write-off may primarily benefit wealthy households, opponents say.<\/li>\n<\/ul>\n<p>House Democrats have said they will pursue &quot;meaningful&quot; change to the $10,000 cap on the federal deduction for state and local taxes, known as SALT.<\/p>\n<p>The controversial measure is part of former President\u00a0Donald Trump&#x27;s signature 2017 tax overhaul and has been a pain point for Americans in high tax states.\u00a0<\/p>\n<p>Since the Tax Cut and Jobs Act, those who itemize deductions can no longer write off more than $10,000 for property and state income taxes on their federal return.<\/p>\n<p>While the Ways and Means Committee didn&#x27;t address SALT in its\u00a0package of tax proposals, Chairman Richard Neal, D-MA, along with Reps. Bill Pascrell, Jr., D-NJ, and Tom Suozzi, D-NY,\u00a0released a joint statement\u00a0saying they are &quot;working daily&quot; on the reform.<\/p>\n<p>\u00a0&quot;We are committed to enacting a law that will include meaningful SALT relief that is so essential to our middle-class communities and we are working daily toward that goal,&quot; they said.<\/p>\n<p><strong>More from Personal Finance:<\/strong><br \/>House Democrats&#x27; plan would close tax loophole used by crypto investors<br \/>IRS extends tax relief for Hurricane Ida victims in New York, New Jersey<br \/>House Democrats propose top 39.6% tax rate at these income levels<\/p>\n<p>As lawmakers debate President Joe Biden&#x27;s agenda, repealing the SALT deduction cap has been a sticking point among lawmakers in high tax states.<\/p>\n<p>A group of moderate Democrats, mostly from New Jersey and New York, has said they won&#x27;t support a bill unless it restores the tax break.<\/p>\n<p>&quot;I have been consistent for six months: &#x27;No SALT, no deal&#x27;,&quot; Suozzi said in a separate statement.<\/p>\n<p>While Democrats don&#x27;t need Republican support to pass their $3.5 trillion spending bill, they have to get votes from every Democratic senator and nearly every House member.<\/p>\n<p>However, the proposed repeal has received pushback from lawmakers who argue the tax cut may primarily benefit the wealthy.\u00a0<\/p>\n<p>The top 20% of taxpayers may receive more than 96% of the benefit of a SALT cap repeal, according to a Tax Policy Center report, and only 9% of American households may be affected.<\/p>\n<p>Moreover, the top 1% of households may receive 54% of the benefit, with an average tax break of $34,000.<\/p>\n<p>The cap on the SALT deduction brought in $77.4 billion the first year it was instated, according to the Joint Committee on Taxation. Removing the limit for 2021 may cost $88.7 billion, and more in future years.<\/p>\n<p>In the meantime, a growing number of states now offer workarounds for the SALT cap for pass-through business owners. These strategies may allow some businesses to bypass the deduction limit by using a state levy to pay for some of the owner&#x27;s state income taxes.<\/p>\n<p><\/p>\n<p>Source: <a href=\"https:\/\/www.cnbc.com\/2021\/09\/15\/democrats-vow-meaningful-relief-for-state-and-local-tax-deduction-.html\" target=\"_blank\" rel=\"noopener\">Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>House Democrats confirm they will pursue \u201cmeaningful\u201d change to the $10,000 limit on the federal deduction for state and local taxes. The measure has been [&#8230;]<\/p>\n","protected":false},"author":3,"featured_media":121434,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me\" \/>\n<meta property=\"og:description\" content=\"House Democrats confirm they will pursue \u201cmeaningful\u201d change to the $10,000 limit on the federal deduction for state and local taxes. The measure has been [...]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/\" \/>\n<meta property=\"og:site_name\" content=\"Fin2me\" \/>\n<meta property=\"article:published_time\" content=\"2021-09-15T13:54:09+00:00\" \/>\n<meta name=\"author\" content=\"Mark\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/fin2me.com\/wp-content\/uploads\/2021\/09\/House-Democrats-promise-\u2018meaningful-relief-for-state-and-local-tax-deduction-cap.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Mark\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/\",\"url\":\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/\",\"name\":\"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me\",\"isPartOf\":{\"@id\":\"https:\/\/fin2me.com\/#website\"},\"datePublished\":\"2021-09-15T13:54:09+00:00\",\"dateModified\":\"2021-09-15T13:54:09+00:00\",\"author\":{\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\"},\"breadcrumb\":{\"@id\":\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/fin2me.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Business\",\"item\":\"https:\/\/fin2me.com\/category\/business\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/fin2me.com\/#website\",\"url\":\"https:\/\/fin2me.com\/\",\"name\":\"Fin2me\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/fin2me.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\",\"name\":\"Mark\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g\",\"caption\":\"Mark\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/","og_locale":"en_US","og_type":"article","og_title":"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me","og_description":"House Democrats confirm they will pursue \u201cmeaningful\u201d change to the $10,000 limit on the federal deduction for state and local taxes. The measure has been [...]","og_url":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/","og_site_name":"Fin2me","article_published_time":"2021-09-15T13:54:09+00:00","author":"Mark","twitter_card":"summary_large_image","twitter_image":"https:\/\/fin2me.com\/wp-content\/uploads\/2021\/09\/House-Democrats-promise-\u2018meaningful-relief-for-state-and-local-tax-deduction-cap.jpg","twitter_misc":{"Written by":"Mark","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/","url":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/","name":"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap - Fin2me","isPartOf":{"@id":"https:\/\/fin2me.com\/#website"},"datePublished":"2021-09-15T13:54:09+00:00","dateModified":"2021-09-15T13:54:09+00:00","author":{"@id":"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a"},"breadcrumb":{"@id":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/fin2me.com\/business\/house-democrats-promise-meaningful-relief-for-state-and-local-tax-deduction-cap\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/fin2me.com\/"},{"@type":"ListItem","position":2,"name":"Business","item":"https:\/\/fin2me.com\/category\/business\/"},{"@type":"ListItem","position":3,"name":"House Democrats promise \u2018meaningful\u2019 relief for state and local tax deduction cap"}]},{"@type":"WebSite","@id":"https:\/\/fin2me.com\/#website","url":"https:\/\/fin2me.com\/","name":"Fin2me","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/fin2me.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a","name":"Mark","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/fin2me.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g","caption":"Mark"}}]}},"_links":{"self":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts\/121435"}],"collection":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/comments?post=121435"}],"version-history":[{"count":0,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts\/121435\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/media\/121434"}],"wp:attachment":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/media?parent=121435"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/categories?post=121435"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/tags?post=121435"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}