The state and local tax deduction, or SALT, has long been a target for tax-policy wonks who see it as an unwise federal subsidy that is mainly claimed by the wealthy. Doing so means offsetting the costs of rate cuts by closing loopholes, and few of them yield more revenue than the SALT deduction. President Trump on Sept. 13 said he is advocating for a tax plan that would aim to provide tax relief for the middle class and businesses. “That’s not fair.”Interviews with a broader group of House Republicans representing districts in California, Pennsylvania, Illinois and New York found broad unease with the prospect of the deduction’s elimination. But Rosenthal said Republicans, having ruled out higher taxes on assets and investment, have few easier choices available to them.

Source: Washington Post September 16, 2017 17:47 UTC