President Donald Trump’s "big beautiful bill" raises the SALT deduction cap to $40,000. Here's who will benefit.

Senate Republicans passed changes to the federal deduction for state and local taxes, known as SALT. Here's how the SALT deduction cap would affect you.

The $40,000 cap would begin this year, with the same $500,000 income phaseout, and both figures would rise by 1% annually from 2026 through 2033.