A Fresh Fight for Fairness in Taxation

The debate over the state and local tax (SALT) deduction has been ongoing for years, with lawmakers and taxpayers alike arguing over its merits. Now, with the cap on SALT set to expire in 2025, the fight is heating up once again. But this time, it's not just about the tax deduction itself – it's about fairness. For those who rely on the SALT deduction, the cap has been a major source of frustration. Historically, most of the tax payers who claim the deduction reside in high tax states such as New York, Connecticut, New Jersey and California. But when the cap was introduced in 2017, it limited the amount of SALT that could be deducted from taxable income to just $10,000. This has meant that many homeowners and small businesses in these states are facing higher tax bills and struggling to make ends meet. Enter former President Donald Trump, who has recently announced his support for repealing the SALT cap. In a social media post, Trump promised to "get SALT back" if he were to become president again. This has given new hope to those who rely on the SALT deduction, and has sparked a renewed effort to push for its repeal. But not everyone is on board with repealing the SALT cap. Some argue that it's essential for reducing the national deficit and ensuring that everyone contributes to the tax system. Others argue that it's a crucial tool for combating inequality and ensuring that people in high-tax states aren't unfairly burdened with higher tax bills. As the debate continues to rage on, one thing is clear: the fate of the SALT deduction hangs in the balance. Will lawmakers be able to come together to repeal the cap, or will it remain in place? Only time will tell.