WASHINGTON — President Trump told New York Republican Rep. Mike Lawler Tuesday to back off on his demand for a higher limit on state and local tax (SALT) deductions — as the ask threatens GOP unity on Trump’s “big, beautiful bill.”
Several witnesses in the room told The Post that Trump made clear that he doesn’t want the tax fight to upend what could be a signature piece of legislation stuffed with campaign promises to extend his 2017 tax reform law while eliminating rates on tips, overtime and Social Security.
Trump “made clear he’s losing patience with all holdout factions of the House Republican Conference, including the SALT caucus and the House Freedom Caucus,” a senior White House official told The Post.
“[Trump] gave Mike Lawler some praise but also encouraged him that, you know, he won his race by a lot,” added Rep. Lauren Boebert (R-Colo.), who said she was “very pleased to hear say we don’t want to increase SALT” deduction limits.
“That is a very unfair tax and I’m in Colorado. I’m a SALT state.”
The current $10,000 limit on the amount in state and local taxes that can be deducted from federal taxes was imposed by Trump’s 2017 tax law. The current version of the pending bill would lift the maximum deduction to $30,000.
Trump said while entering the Capitol that he was skeptical of completely scrapping the SALT deduction cap.
“The biggest beneficiary, if we do that, are governors from New York, Illinois and California,” he said.
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