Procedural Vote on House Bill
Lawmakers will cast a procedural vote on the House bill known as the SALT Marriage Penalty Elimination Act which aims to double the deduction limit for married couples filing jointly.
Temporary and Retroactive Change
If passed the change would be temporary and retroactive starting from Dec. 31 2022 to Jan. 1 2024.
Impact on Married Couples
Currently married couples filing jointly are limited to a $10,000 deduction for SALT. Some argue that this penalizes them compared to single filers.
Wealthy Benefit Most
While supporters of SALT reform claim it benefits middle class families analyses show that the proposed increase would primarily benefit wealthier households.
Tax Foundation Analysis
Both the Tax Policy Center and the Tax Foundation have conducted analyses that indicate the majority of the benefit from the change would go to households making between $200,000 and $1 million.
Sticking Point in Tax Policy Discussions
The SALT cap is expected to be one of the major issues in ongoing discussions about expiring Tax Cuts and Jobs Act provisions.
Comments
- No comments yet. Become a member to post your comments.