Category

Taxes Paid

Type

Itemized

2025 Limit

$10,000 per household ($5,000 MFS)

2026 Limit

2026 SALT cap is $40,400, but the increased cap phases down when modified AGI exceeds $505,000. The phase-down reduces the cap by 30% of income above the threshold, cannot reduce the cap below the $10,000 floor, and around $606,333 MAGI the taxpayer is effectively back to the $10,000 cap.

IRC Reference

IRC § 164

Eligibility

Itemizers in high-tax states

Notes / Description

Includes state/local income taxes or sales tax (choose larger), plus property taxes. Planning note: many high-income households may receive limited benefit from the increased cap because of the phase-down.