But analysts and tax experts say the bill House Democrats advanced on Thursday would primarily benefit affluent Americans. That’s because it would repeal a cap on state and local tax (SALT) deductions, a change that would benefit people with large tax bills. The House bill also only temporarily repeals the tax cap, and it would go back into effect after several years. Democratic lawmakers have said the SALT cap deprives high-tax communities of crucial funding, while also affecting middle-income people in high-cost areas who are still suffering from the change. Some have also dismissed the claim that the SALT cap is driving people out of high-tax areas.

Source: Washington Post December 19, 2019 21:15 UTC