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Tax Relief for Families: Higher State and Local Tax Deductions

This bill aims to increase the amount citizens can deduct from their income for state and local taxes paid. This change could mean lower taxes for many families, especially those with middle incomes. The new rules will apply starting from the 2023 tax year.
Key points
The State and Local Tax (SALT) deduction limit increases from $10,000 to $100,000 for most taxpayers.
For married couples filing jointly, the deduction limit increases to $200,000.
These changes apply to taxable years beginning after December 31, 2022, meaning they can impact 2023 tax filings.
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Additional Information
Tax Relief for Middle Class Families Act of 2023
Print number: HR 680
Sponsor: Rep. Sherrill, Mikie [D-NJ-11]
Process start date: 2023-01-31