New Bill: Representative Andrew R. Garbarino introduces H.R. 430: Securing Access to Lower Taxes by ensuring Deductibility Act

We have received text from H.R. 430: Securing Access to Lower Taxes by ensuring Deductibility Act. This bill was received on 2025-01-15, and currently has 21 cosponsors.

Here is a short summary of the bill:

This bill, titled the "Securing Access to Lower Taxes by ensuring Deductibility Act," proposes an amendment to the Internal Revenue Code of 1986 concerning the tax deductibility of state and local taxes. Below are the main points of the bill:

Short Title

The bill may be referred to as the "SALT Deductibility Act" or more formally as the "Securing Access to Lower Taxes by ensuring Deductibility Act."

Repeal of Deduction Limitation

The primary action of the bill is to repeal limitations on the deductibility of certain taxes, specifically:

• 
  State and local property taxes
  


• 
  State and local income taxes
  

In practical terms, this means that taxpayers would no longer face a cap on how much they can deduct for these types of taxes when filing their federal income tax returns.

Effective Date

The changes proposed by the bill would take effect for taxable years starting after December 31, 2024. This means that taxpayers would first experience the benefits of this change during the tax season for the year 2025.

Overall Impact

If passed, this legislation would allow taxpayers to fully deduct more of their local and state tax payments, potentially leading to lower overall taxable income at the federal level.

Relevant Companies

• 
  
  IRM
  
  (Iron Mountain Inc.): May benefit indirectly as increased disposable income from tax savings can impact demand for storage solutions.
  


• 
  
  AVB
  
  (AvalonBay Communities, Inc.): As a real estate investment trust, it could see increased interest in property investment as tax deductibility improves.
  


• 
  
  EXR
  
  (Extra Space Storage Inc.): Likely to benefit from increased demand for storage solutions through potentially greater disposable income resulting from tax savings.
  

This article is not financial advice. See Quiver Quantitative's disclaimers for more information.

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