SALT Deductibility Act

This legislative proposal, known as the SALT Deductibility Act , aims to amend the Internal Revenue Code of 1986. Its primary purpose is to repeal the existing limitation on the deduction for certain taxes, specifically focusing on state and local property and income taxes. Currently, taxpayers face a cap on the amount of state and local taxes they can deduct from their federal taxable income. By striking paragraph (6) of Section 164(b), this bill would eliminate that restriction, allowing for full deductibility. The proposed changes would take effect for all taxable years beginning after December 31, 2024, potentially reducing the federal tax burden for many individuals in high-tax states.