GOP divided over lifting SALT cap
Rep. Mike Lawler, R-NY, joins ‘Sunday Morning Futures’ to discuss the Trump meeting with blue state Republicans over lifting the SALT cap and NYC congestion pricing.
President-elect Donald Trump is giving Republicans his blessing to negotiate on a key tax that could prove critical to the GOP’s negotiations for a massive conservative policy overhaul next year.
Trump met with several different groups of House Republicans at Mar-a-Lago over the weekend, including blue state GOP lawmakers who make up the House SALT Caucus – a group opposed to the current $10,000 cap on state and local tax (SALT) deductions that primarily affect urban and suburban residents in areas with high income and property taxes, such as New York, New Jersey, and California.
“I think it was productive and successful,” Rep. Nicole Malliotakis, R-N.Y., said of the meeting. “The president supports our efforts to increase the SALT deduction. He understands that mayors and governors in blue states are crushing taxpayers and wants to provide relief from the federal level.”
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President-elect Donald Trump told New York Republicans he would work with them on a number of priorities (Chip Somodevilla/Getty Images)
But Trump also signaled he was aware of the opposition from others in the House GOP conference, particularly rural district Republicans, who have viewed SALT deductions as tax breaks for the wealthy. Before the cap was imposed in 2017, there was no limit to how much state income and local property taxes people could deduct from their income when filing their federal returns.
“He gave us a little homework to work on, a number that could provide our middle class constituents with relief from the high taxes imposed by our governor and mayor, and at the same time, you know, something that can build consensus and get to [a 218-vote majority],” Malliotakis said.
“I think we pretty much know…
