"SALT" Tax Cap Unchanged In Latest Budget

Many taxpayers in states with higher housing and living expenses were hopeful to see the $10,000 cap on deductions of 'State and Local Tax' (SALT) increased substantially or removed entirely when Congress took up the most recent budget negotiations. However, after making it through the House, it appears the bill stalled in the Senate and was not included in the most recent appropriations bill and budget passed and signed into law.

While the bill is not officially dead, it's prospects do not seem promising. So those local taxpayers who's combined property and sales taxes exceed $10,000 annually may find their deductions for SALT taxes capped.

 You can learn more about deducting State and Local Income Taxes at the IRS website - even though it may not cover your entire SALT bill, this is certainly a worthwhile deduction to include in your upcoming tax filing.