Dems Plan to Increase Federal Deduction for SALT May Be in Peril as Build Back Better Stalls

The Democrats’ plan to increase the federal deduction for state and local taxes, known as SALT, may be in peril as Build Back Better stalls.

Sen. Joe Manchin, D-W.Va., says he won’t vote for the bill, halting the current version of President Joe Biden’s $1.75 trillion social and climate package.

However, some policy experts say lawmakers may still revive the measure — including some version of SALT relief — early in 2022.