New State PTE Taxes Circumvent SALT Deduction Limit

Under the SALT deduction cap, taxpayers could lose thousands of dollars in deductions on federal taxes. According to a Government Finance Officers Association report, the state and local tax (SALT) deduction is used directly by nearly 30% of taxpayers, including individuals in every state and in all income brackets. The SALT deduction limit has a bigger impact on residents of high-tax states, such as New York, California and New Jersey.