Republicans who flipped or held districts in blue states are gearing up to flex newfound muscles in their party’s slim majority against a GOP-created limit on deducting state and local taxes, known as the “SALT” cap.
Flipping seats in high-tax states like New York, New Jersey and California was key to Republicans regaining control of the House on Jan. 3. But those victories now complicate hopes of taking up a signature issue: extending tax cuts for individuals and smaller businesses set to sunset after 2025 under the tax law enacted during the Trump administration in 2017.
House Republican leadership and tax writers on the Ways and Means Committee “need to realize … we are in the majority because of Republicans winning in New York, New Jersey and California and, by the way, we don’t like the cap on state and local tax deductions,” Rep. Andrew Garbarino said in an interview.
