Mike Lawler says Senate offering ‘good deal’ on SALT in Trump tax bill
A crucial New York Republican has expressed his satisfaction with a tax provision in the Senate’s version of President Donald Trump’s “big, beautiful bill” after weeks of tense negotiations. Rep. Mike Lawler, R-N.Y., told Fox News Digital that he is pleased with the outcome of the discussions surrounding tax deductions for certain pass-through businesses.
Lawler highlighted that the House language regarding tax deductions was maintained in the final bill, which he views as a significant accomplishment. He specifically mentioned the increase in state and local tax (SALT) deduction caps, noting that despite efforts to diminish the language in the Senate, the House was successful in preserving it.
SALT deductions are intended to provide relief for individuals living in high-cost-of-living areas, primarily in major cities and their suburbs. The 2017 Tax Cuts and Jobs Act imposed a cap of $10,000 on these deductions, which was raised to $40,000 in the House’s bill for a period of 10 years. The Senate, however, reduced the benefit window to five years in their version of the bill.
Lawler emphasized that while the timeline was shortened, taxpayers would immediately be able to deduct up to $40,000, which he views as a significant victory. He criticized Democrats for failing to address this issue during their time in power and praised the Republican-led efforts to provide relief to taxpayers across the country.
The debate over SALT deductions has been contentious, with blue state Republicans advocating for an increase in the cap to address the high tax burden in their states. On the other hand, Republicans from more GOP-leaning states have criticized SALT deductions as a way for high-tax Democratic states to continue their policies at the expense of taxpayers in other states.
While Lawler and other members of the SALT Caucus are supportive of the compromise reached in the Senate’s bill, not all Republicans are on board. Rep. Nick LaLota, R-N.Y., expressed his opposition to the deal, citing the unfairness of the $10,000 cap. Similarly, Rep. Young Kim, R-Calif., indicated that her support for the bill hinges on decisions regarding SALT deduction caps, Medicaid measures, and small business taxes.
The Senate is set to begin considering the legislation on the floor, with the final vote expected to take place in the coming days. As the bill continues to evolve, Republican lawmakers are voicing their concerns and weighing their options.
Overall, the negotiations surrounding tax provisions in President Trump’s bill have been complex and contentious, with lawmakers from both sides of the aisle advocating for their constituents’ interests. The final outcome will have far-reaching implications for taxpayers across the country.
