Congress voted to restore the State and Local Tax (SALT) deduction, a measure that could provide financial relief to Brooklyn homeowners, but will likely go nowhere after President Trump threatened to veto the bill.
The repeal of the 2017-tax law would remove — for two years — the $10,000 cap on federal tax deductions. Members of Congress voted 218 — 206 virtually along party lines with the exception of some 16 Democrats who voted against the bill.
Past legislation capped the amount of state and local taxes for homeowners at $10,000, legislation that began in 2018 under the directive of President Donald Trump.
“The fact that Republicans passed tax cuts for drug companies and billionaires on the backs of cops, firefighters, teachers, nurses and homeowners across Staten Island and South Brooklyn is a disgrace,” Rep. Max Rose who represents a portion of Southern Brooklyn.
“Today, we are one step closer to putting government back on the side of working Americans by restoring the SALT Deduction. We pay enough in property taxes and it’s time for the federal government to have our back.”
The bill would eliminate the marriage penalty allowing married couples to file jointly to deduct $20,000 rather than $10,000 per household. The bill would also double the deduction for teachers who claim out-of-pocket expenses to $500.
Earlier in the week, Trump threatened to veto the legislation in the face of the upcoming impeachment.