Five Blue-State Republicans Block SALT Deduction Raise in Tax Bill

A group of Republican lawmakers from suburban districts in Democratic-controlled states is threatening to withhold support for President Trump's 'big, beautiful bill' unless the state and local tax (SALT) deduction cap is raised substantially. Currently capped at $10,000, the GOP leadership proposed increasing the SALT deduction to $30,000, but this offer was rejected by several New York Republicans who argue it falls short of their constituents' needs and risks derailing the tax legislation. This bloc, including Reps. Andrew Garbarino, Nick LaLota, Mike Lawler, Young Kim, and Tom Kean Jr., represents wealthier suburban areas with higher property taxes and is united in their willingness to sink the bill without a higher SALT cap. While some Republicans, like Rep. Nicole Malliotakis, support the proposed $30,000 cap as beneficial for middle-class families, others maintain that the figure is insufficient. The dispute highlights the broader tension within the GOP between fiscal hawks concerned about deficit spending and moderates advocating for relief in high-tax states, complicating efforts to finalize the tax package. This intra-party conflict underscores the challenge Republicans face in balancing tax relief for constituents in high-cost areas with the party’s broader fiscal goals.