In a closed-door meeting with House Republicans, former President Donald Trump made it clear that he opposes any significant changes to the cap on the state and local tax (SALT) deduction, a contentious issue that continues to divide members of his own party. Despite mounting pressure from GOP lawmakers representing high-tax states like New York, New Jersey, and California, Trump signaled that he wants to keep the existing $10,000 cap firmly in place.
This stance comes at a critical juncture as Republicans push forward with a sweeping tax bill, aiming to build momentum ahead of the upcoming elections. Some lawmakers, particularly those from the aforementioned states, have voiced strong opposition to the current cap, arguing that it unfairly penalizes their constituents who face higher local tax burdens. These representatives have advocated for raising the deduction limit to $30,000 — a threefold increase — in an effort to secure tax relief for middle- and upper-income households in their districts.
However, Trump’s message to the caucus was unambiguous: no further increases. According to Representative Bruce Westerman of Arkansas, Trump reiterated his position that the deduction cap should remain as is, resisting calls to appease the so-called “SALT Republicans.” His reasoning appears rooted in a broader commitment to maintaining the integrity of the original tax reform structure he championed while in office.
For Republicans from blue states, this creates a political dilemma. On one hand, they are under pressure from voters who view the SALT cap as a financial burden. On the other hand, breaking ranks with party leadership on tax reform could carry significant risks. With the tax bill advancing in the House, these lawmakers must now weigh the potential fallout of supporting legislation that leaves the SALT cap unchanged against the broader goal of delivering a GOP-led tax victory.
Trump’s resistance suggests that, at least for now, party unity on the broader goals of the tax package is taking precedence over regional grievances. Whether this will hold as the legislation moves through Congress remains to be seen — especially if discontent within the party’s own ranks begins to threaten the bill’s passage.



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