Supreme Court Declines New York’s Challenge to Trump-Era Federal Cap on State and Local Tax Deductions

The cap on state and local tax (SALT) deductions is part of President Donald Trump’s 2017 tax law.

The states (New York, New Jersey, Connecticut, and Maryland) claimed that the SALT deduction cap was unconstitutional, but this argument found no takers in the judicial system. Specifically, the states had argued that Congress’s imposition of a $10,000 cap on the deduction of state and local property and income taxes from federal taxable income violates Article I, Section 8, as well as the 10th and 16th Amendments to the U.S. Constitution.

A federal district court ruled against the states in 2019, and in October 2021, the U.S. Court of Appeals for the 2nd Circuit did the same.

[theepochtimes.com]