Salt Deduction For 2024 Income Tax

Salt Deduction For 2024 Income Tax. Donald trump is a late convert to restoring the federal income tax deduction of state and local taxes (salt) that were capped at $10,000 when he signed his big tax. For tax year 2023, the salt deduction allows taxpayers to reduce their federal taxable income by up to $10,000 ($5,000 for married couples filing separately) by.

The state and local tax deduction allows taxpayers to deduct those taxes from their federally taxable income. The salt deduction allows those with the largest tax liability, which are often those with high incomes, to deduct larger amounts and receive greater tax breaks — up.