Bloomberg Tax https://news.bloombergtax.com/daily-tax-report/johnson-says-republicans-discussing-raising-salt-cap-to-30-000
Washington D.C.-
House Speaker Mike Johnsonsaid Republicans are discussing raising the state and local tax deduction cap to $30,000 — among other options — as the party seeks to resolve disagreements on the details of President Donald Trump’s tax package.
“I’ve heard that number, and I’ve heard others as well,” Johnson told reporters on Thursday.
“It’s still an ongoing discussion amongst the members, and I think we’ll find the right point,” he added. “I’m not going to handicap it because I’m not sure exactly what that is, but there’s a lot of analysis that’s going into it.”
House leaders have been seeking to reach agreement with members from New York, New Jersey and California — who threaten to block the bill without a sufficient increase to the $10,000 cap on SALT deductions — as they navigate the political realities of pushing an expensive tax bill through their narrow majority.
Four New York Republicans, including Trump ally Elise Stefanik, rejected talk of a $30,000 cap proposal in a joint statement. Stefanik along with Nick LaLota,Mike Lawler, and Andrew Garbarino said “it’s not just insulting — it risks derailing President Trump’s One Big Beautiful Bill.”
Stefanik is a member of the chamber’s leadership, underscoring the difficulties of forging a consensus in the party. Here public input on an issue less acute for her upstate district has nonetheless increased as source close to her have confirmed she is mulling a run for governor.
A Johnson spokesperson, Athina Lawson, said in an X post on Thursday evening that “What the Speaker actually said is this is one number among others in ongoing discussions amongst members.”
The SALT issue has been one of the most contentious for the House GOP to resolve as party leaders try to ram a multi-trillion-dollar tax cut package through the House in May. The larger the cap adjustment is, the less money there will be for other tax cuts on the Republican agenda.
The House Ways and Means Committee is scheduled to consider that tax portion of the bill on Tuesday, an implicit deadline for lawmakers to come to an agreement on SALT.
Republicans are also sparring over spending reductions in the bill, including weighing cuts to Medicaid health coverage and nutritional programs for low-income households.
Conservative Ralph Norman said that if moderates get a $30,000 SALT cap then they must agree to even deeper spending cuts such as to Medicaid.
