SALT Inaction Risks Dooming Biden’s Agenda, House Democrats Warn

Dec. 8, 2021, 6:54 PM

President Joe Biden’s economic agenda risks faltering in the House unless the final bill includes a large expansion of the state and local tax deduction, some House Democrats from high-tax areas have warned their Senate colleagues.

The House-passed version of the Build Back Better Act expanded the cap of the state and local tax, or SALT, deduction to $80,000 from $10,000. Senate Democrats said that would provide too large a tax cut for the wealthy and want to scale back the write-off, though senators haven’t agreed on the details.

The House will vote again on the bill after the ...

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