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Increases State and Local Tax Deductions
Recent Bills/Increases State and Local Tax Deductions

Increases State and Local Tax Deductions

IntroducedJanuary 7, 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 and married couples can deduct from their taxes for state and local taxes paid.

If you pay high state and local taxes, you can now deduct up to $100,000 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 and married couples.
  2. 2Individuals can now deduct up to $100,000, while married couples filing jointly can deduct up to $200,000.
  3. 3The current deduction limit is $10,000 for individuals and $5,000 for married individuals filing separately.
  4. 4This change aims to provide tax relief for those paying high state and local taxes.
  5. 5The new deduction limits will apply to tax years starting after December 31, 2024.
Read the detailed summary

SALT Fairness and Marriage Penalty Elimination Act This bill increases the limitation on the federal tax deduction for state and local taxes (commonly known as the SALT deduction cap) to $100,000 ($200,000 for married individuals filing a joint federal income tax return). Under current law, the SALT deduction cap is $10,000 ($5,000 for 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 7, 2025
Sponsors
See all 5 sponsors
House
SenateMay 15, 2025
PresidentCurrent

Passed/agreed to in Senate

The President

Donald Trump
President
Awaiting Signature
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