Senate Approves Compromise on State Tax Deductions in Trump’s Tax Bill

Rep. Mike Lawler of New York praised the Senate’s compromise on state and local tax (SALT) deductions within Trump’s ‘big, beautiful bill’ for increasing the cap to $40,000 and extending it for five years. Lawler, a blue-state Republican, called it a ‘good deal’ after weeks of negotiations, though some Republicans, like Rep. Nick LaLota, have rejected the deal. The SALT deduction, now capped at $10,000 since 2017, aims to provide tax relief for high-cost areas.