The 'One Big Beautiful Bill Act' proposes a significant increase in the SALT deduction cap, aiming to aid taxpayers in high-tax states. However, experts highlight that the majority won't see a benefit.

If the House provision is enacted, the SALT cap would rise to $40,000, up from $30,000 in the previous plan, and phase out over $500,000.

The Republican-led U.S. House of Representatives passed a bill on Thursday that would allow a deduction of up to $40,000 on federal returns for state and local taxes, known as SALT. A previous version of the bill had a cap of $30,000.