SALT-Cap Repeal Unlikely to Be Added to Covid-19 Relief Bill

Hopes among millions of upper-income and middle-class taxpayers for a repeal of the Trump administration’s limits on their federal deductions will likely be on hold for now, as an effort to include the measure in the Covid-19 aid package is poised to fail.

The House Ways and Means Committee is slated to clear the tax portions of President Joe Biden’s stimulus legislation on Friday. Calls by some New Jersey Democrats to repeal the $10,000 cap on state and local tax, or SALT, write-offs, have gone unheeded in the legislation so far.

The panel’s chair, Richard Neal, a Massachusetts ...