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SALT Cap Revolt Led by N.Y. Democrats Snarls Biden Spending Plan

April 20, 2021, 3:36 PM

President Donald Trump’s 2017 tax law disproportionately targeted Democrats in high-tax states by eliminating a popular federal deduction. Now Trump’s legislative triumph has put President Joe Biden in a bind.

Newly released Internal Revenue Service data show the politically lopsided impact of the $10,000 cap on deducting state and local taxes, or SALT -- and why Democrats from the hardest-hit SALT states may be willing to cost Biden the crucial victory of passing his $2.25 trillion infrastructure and social services plan if he continues to insist on keeping Trump’s cap in place.

In some New York congressional districts, the ...