Key Senators Float SALT Break for Americans Earning Less Than $400,000 

A second key lawmaker expressed openness to restoring the federal deduction on state and local taxes only for Americans earning less than $400,000, suggesting Senate Democrats are coalescing around the idea rather than providing the tax break in a broader way that would benefit the very rich.

New Jersey Senator Robert Menendez said Wednesday that a proposal circulating among House Democrats to remove the SALT deduction’s $10,000 for several years “doesn’t quite work for us.” Instead, something like what Vermont Senator Bernie Sanders floated on Tuesday -- getting rid of the SALT cap up to $400,000 of income -- would work, Menendez said.