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H.R. 202House117th Congress (2021-2023)In Committee

SALT Fairness Act of 2021

Sponsored by Mike GarciaRep. Mike Garcia (R-CA)
Introduced January 5, 2021

AI-Generated Summary

Updated February 7, 2026 at 9:10 PM UTC

The SALT Fairness Act of 2021 would eliminate the $10,000 cap on the deduction for state and local taxes in the federal income tax code. By removing this limit, the bill lets taxpayers who itemize deductions fully deduct the state and local taxes they paid. It mainly affects individual taxpayers, especially those in high‑tax states, and takes effect as if it were part of the Tax Cuts and Jobs Act’s effective date provisions.

Key Provisions

  • Repeals the $10,000 limitation on the state and local tax (SALT) deduction by striking paragraph (6) of Section 164(b) of the Internal Revenue Code.
  • Sets the amendment’s effective date to be the same as the provision in Public Law 115‑97 (Tax Cuts and Jobs Act).

Legislative Activity

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1 earlier action
HouseIntro Referral Latest Action

Referred to the House Committee on Ways and Means.

Ways and Means Committee

January 5, 2021

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HouseIntro Referral

Introduced in House

January 5, 2021

HouseIntro Referral

Referred to the House Committee on Ways and Means.

Ways and Means Committee

January 5, 2021

Bill Text

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Introduced in HouseIssued January 5, 2021

I

117th CONGRESS

1st Session

H. R. 202

IN THE HOUSE OF REPRESENTATIVES

January 5, 2021

Mr. Garcia of California introduced the following bill; which was referred to the Committee on Ways and Means

A BILL

To amend the Internal Revenue Code of 1986 to repeal the limitation on deduction for State and local taxes, and for other purposes.

1.

Short title

This Act may be cited as the SALT Fairness Act of 2021.

2.

Repeal of limitation on deduction for State and local, etc. taxes

(a)

In general

Section 164(b) is amended by striking paragraph (6).

(b)

Effective date

The amendment made by subsection (a) shall take effect as if included in section 11042 of Public Law 115–97.