Tax Model Analysis Modify Limit on Deductible State and Local Taxes (SALT) (January 2025)

Tables show the change in federal tax burden from modifying the limit on deductible state and local taxes (SALT deduction). Distributional results are shown for calendar year 2025.

Simulation Run January 8, 2025
  • T25-0001 – Increase Limit on Deductible State and Local Taxes (SALT) to $20,000 for Married Couples Filing Jointly, Distribution by ECI Level, 2025
  • T25-0002 – Increase Limit on Deductible State and Local Taxes (SALT) to $20,000 for Married Couples Filing Jointly, Distribution by ECI Percentile, 2025