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'Tax Reform 2.0' Would Permanently Curtail State and Local Deduction
Route Fifty: Tax legislation House Republicans released Monday would make permanent a limit on state and local tax deductions put in place as part of last year's GOP-led revamp of the federal tax code.
House Ways & Means Chairman Kevin Brady, of Texas, unveiled a package of three bills dubbed "Tax Reform 2.0." A provision in one of the bills would remove the Jan. 1, 2026 expiration date for a $10,000 cap on the deduction individual taxpayers can claim on their federal tax returns for certain state and local tax payments.
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