- July 23, 2021
- Posted by: Stratford Team
- Category: Business
Cecilie Arcurs | Getty Images
A growing number of states are offering pass-through business owners a workaround for the $10,000 federal deduction limit for state and local taxes, known as SALT.
A controversial part of Republicans’ 2017 tax overhaul, the SALT write-off cap is costly for filers who itemize deductions and can’t claim more than $10,000 for property and state income taxes.
The limit has been a burden to those in high-tax states, such as California, New Jersey and New York. While there has been a push to repeal the law, President Joe Biden hasn’t included the measure in his proposals.
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Although the IRS and Treasury have blocked some individual strategies to bypass the cap, some states have created a workaround for pass-through…
