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Increased Tax Deduction Limit for State and Local Taxes (SALT) up to $30,000.

This bill proposes raising the maximum amount of State and Local Taxes (SALT) that individuals can deduct from their federal taxable income. The current $10,000 limit would increase to $15,000 for single filers and $30,000 for married couples filing jointly. The bill also provides for these new limits to be adjusted annually for inflation.
Key points
The maximum deduction for State and Local Taxes (SALT) increases from $10,000 to $15,000 for single taxpayers.
For married couples filing jointly, the SALT deduction limit increases to $30,000.
The new, higher deduction limits apply to tax years beginning after December 31, 2022.
The deduction amount will be automatically adjusted for inflation starting in the 2024 tax year.
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Additional Information
SALT Fairness for Working Families Act
Print number: HR 2660
Sponsor: Rep. Underwood, Lauren [D-IL-14]
Process start date: 2023-04-17