SALT Cap Boost in House Bill Destined for Changes by Senate

House Democrats from high-tax states celebrated the inclusion of a more generous state and local tax deduction in the House-passed version of President Joe Biden’s economic plan, but they face some intensive negotiations on its final form as the Senate takes up the bill.

“Nobody thought we would get this far. There was a lot of skepticism,” Representative Tom Suozzi, a New York Democrat, said. “So it’s a major victory and we’re gonna keep on pushing to make sure it gets done all the way and signed by the president.”

The legislation that passed the House Friday calls ...