On Thursday, four House Republicans from New York expressed their frustration regarding a proposed $30,000 state and local tax (SALT) deduction. They characterized the offer from House Speaker Mike Johnson (R-La.) and the Lower Room Tax Policy Committee as “inhumane.”
Mike Roller, Elise Stefanik, Andrew Garbarino, and Nick Lalota suggested that this proposal could undermine an important settlement package related to President Trump’s second-term agenda, which is often highlighted as part of his “big beautiful bill.”
In a joint statement, the lawmakers said, “We approached SALT negotiations in good faith, advocating for the taxpayers we represent in New York.” They noted that the Speaker and the House Ways and Means Committee unilaterally proposed this flat $30,000 cap without prior notice or agreement, stating, “We’ve already made it clear that this amount does not have our backing.”
They further criticized the proposal, claiming it isn’t just a slight; it poses a risk of derailing this critical legislative effort. “New Yorkers contribute far more to Washington than they receive back, in contrast to many so-called ‘low-tax’ states that depend heavily on federal assistance. Advocating for a higher SALT cap isn’t a luxury; it’s a matter of fairness.”
They firmly rejected the offer.
A spokesperson for the House Speaker responded, suggesting that the statements from Roller, Stefanik, Garbarino, and Lalota were taken out of context, asserting that the $30,000 figure is still subject to discussion. “What the Speaker mentioned was just one of many ongoing discussions among members,” Johnson said.
He added that he wasn’t ready to make any specific judgments yet, as analyses are still underway.
According to sources, Republican lawmakers from states with high taxes are seemingly sticking to a multi-trillion dollar package while vying for SALT caps ranging from $30,000 to $100,000.
Earlier this year, Roller introduced a law aimed at increasing the SALT cap to $100,000 for individuals and $200,000 for couples. The current maximum cap, set by the 2017 Tax Cuts and Jobs Act, stands at just $10,000 for both individual and married filers and is expected to expire by year’s end.
In a Fox Business interview, Roller highlighted that if Trump’s initial term tax cut expired last month, the SALT cap would also vanish, thus allowing for unlimited state and local tax credits. However, he cautioned that this might lead to a rise in federal tax rates and the return of the alternative minimum tax—outcomes he deemed “devastating” for New Yorkers. The House Ways and Means Committee is slated to finalize the tax bill’s provisions next week, and Treasury Secretary Scott Bescent has set a deadline for July 4th.
