Salt Deduction Update 2024. The legislation, called the salt marriage penalty elimination act, would have doubled the cap on the state and local tax (salt) deduction—but just for one year. The cap on the state and local tax deduction — known as salt — would rise from $10,000 to $20,000 this year for married couples earning up to $500,000.

Both the salt limitations and the doubled standard deduction expire after 2025, putting salt on the 2025 menu for lawmakers. The salt deduction enables certain taxpayers to reduce their federally taxable income by the amount of state and local taxes they paid that year, up to $10,000.