Salt Deduction Cap 2025 Nj. A $10,000 cap on the deduction is set to expire at the end of 2025 and the lawmakers want to see that cap either expanded or eliminated entirely, easing the tax burden. The tax cuts and jobs act’s $10,000 state and local tax deduction cap was bad tax policy in 2017, remains bad tax policy now, and will be bad tax policy if retained when.
Both the salt limitations and the doubled standard deduction expire after 2025, putting salt on the 2025 menu for lawmakers. The council believes this cap poses an unfair burden on homeowners as many families rely on salt deductions.