As a result of his efforts against the $10,000 cap on the state and local tax (SALT) deduction, Congressman Tom Suozzi (D – Long Island, Queens) announced that the United States House of Representatives has successfully passed much-needed relief to middle-class families in New York. In the House, Suozzi was one of the lead negotiators who struck the deal to increase the SALT cap to $80,000. New York State was one of the hardest hit from the $10,000 SALT cap. Now, it must pass the Senate.
“This agreement to substantially raise the cap from $10,000 to $80,000 will help millions of New Yorkers keep billions of dollars in their own pockets” said Suozzi. “If passed in the Senate, New York’s families will see this immediate relief when they file their 2021 income tax in April. This is a major step forward in our relentless pursuit to protect New York taxpayers.”
Below are the details of the SALT relief that Suozzi negotiated into the Build Back Better bill:
- Would raise the deduction cap to $80,000 for a nine-year period through 2030. It would then return to the current $10,000 level in 2031, and then phase out entirely.
Below is a breakdown of how many filers in different regions across New York claimed the SALT deduction before the $10,000 cap was placed. The $80,000 SALT cap will provide relief to these hardworking taxpayers:
- Queens County: 361,840
- New York City: 1,388,120
- Nassau County: 366,910
- Suffolk County: 369,060
- New York State: 3,418,170