NJ Politics Digest: GOP Tax Deal Caps SALT Deduction

The United States Capitol building in Washington, D.C. Win McNamee/Getty Images

Congressional Republicans struck a deal Wednesday on a federal tax overhaul that includes scaling back the state and local Tax (SALT) deduction.

Party leaders in the House and Senate reached a compromise between competing GOP tax bills. The new bill, which is expected to see final votes in Congress by next week, would cap the SALT deduction at $10,000.

Democrats and Republicans have warned that curtailing the SALT deduction would force New Jersey residents to send more money to the federal government. But Rep. Tom MacArthur (R-3) is continuing to defend the plan. “Yes, it’s better for low-tax states. But it’s still good for families in New Jersey,” he told the Burlington County Times on Wednesday.

Meanwhile, Governor-elect Phil Murphy announced Wednesday that he will nominate Assemblywoman Elizabeth Muoio to be the next state treasurer.

Quote of the Day: “I think it’s great that the governor-elect has picked a Christie person to be the attorney general.” — Gov. Chris Christie.

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NJ Politics Digest: GOP Tax Deal Caps SALT Deduction