Reported 1 day ago
Congress is working on expanding the state and local tax (SALT) deduction, which is a write-off that only a small percentage of Americans actually claim. Despite representing communities where local taxes are high, it turns out that most constituents aren’t significantly impacted by the current $10,000 cap on the deduction. Around 90% of taxpayers opt for the standard deduction instead of itemizing their taxes, making the SALT deduction relevant only to a small fraction of high earners with expensive homes. With Republicans needing to secure votes from a handful of representatives in swing districts, the push to increase the SALT cap is shaping the upcoming tax cut proposals.
Source: YAHOO