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Increases Tax Deductions for State Taxes
Recent Bills/Increases Tax Deductions for State Taxes

Increases Tax Deductions for State Taxes

IntroducedJanuary 9, 2025
Passed Senate1 year ago
Intro
House
Senate
Pres
Passed/agreed to in Senate
Why This Matters

This bill increases the amount of money individuals can deduct from their taxes for state and local taxes, helping them save more.

If you pay state and local taxes, you can now deduct up to $15,000 starting in 2025.
Who this affects
Individuals · Married couples
What changes is this bill making?
  1. 1This bill raises the limit on state and local tax deductions for individuals.
  2. 2Individuals can now deduct up to $15,000 instead of $10,000.
  3. 3Married couples filing jointly can deduct up to $30,000.
  4. 4The change will take effect for tax years starting in 2025.
  5. 5This bill aims to provide financial relief for families paying high local taxes.
Read the detailed summary

SALT Fairness for Working Families Act This bill increases the limitation on the federal tax deduction for state and local taxes (commonly known as the SALT deduction cap) to $15,000 ($30,000 for married individuals filing a joint federal income tax return). Under current law, the SALT deduction cap is $10,000 ($5,000 for a married individuals filing separate federal income tax returns).

Bill Progress4 of 4
Bills must pass the House, Senate, and be signed by the President to become law.
Intro
House
Senate
Pres
IntroducedJan 9, 2025
Sponsors
See all 2 sponsors
House
SenateMay 22, 2025
PresidentCurrent

Passed/agreed to in Senate

The President

Donald Trump
President
Awaiting Signature
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