April 01, 2019

Casten, Underwood Introduce Legislation to Provide Tax Relief for Illinois Families Hurt by SALT Deduction Changes

WASHINGTON –U.S. Representatives Sean Casten (IL-06) and Lauren Underwood (IL-14) today announced the introduction of new legislation, H.R. 1757, that would provide tax relief to Illinois families unfairly harmed by a new tax burden included in the Tax Cuts and Jobs Act of 2017. The Republican tax law enacted in 2017 disproportionately hurts Illinoisans in the 14th and 6th Congressional Districts by imposing a new cap of the State and Local Tax (SALT) deduction at $10,000, whether they file individually or jointly. This deduction was previously unlimited. This legislation would help affected taxpayers by increasing the current SALT deduction cap, eliminating the marriage penalty, and adding an inflationary adjustment.

"As families in the 14th District file their taxes this year, many are getting horrible and unexpected news—they owe thousands more than they did last year because they can no longer deduct all of their state and local taxes, thanks to changes in the recently-enacted Republican tax law. This is unacceptable, our community does not deserve to be double-taxed. My legislation would alleviate this burden for middle class families in our community," said Rep. Underwood.

"Residents of the 6th District are already filing tax returns and feeling the sting of the increased tax burden imposed on them through the work of my predecessor. With this legislation, I'm seeking to lift that burden, raise the SALT cap and restore the longstanding concept underlying the SALT deduction that citizens shouldn't have to pay taxes twice," said Rep. Casten.

In a January letter, Underwood and Casten urged the Internal Revenue Service (IRS) to address the disproportionate tax burden facing Illinois families due to changes in the state and local tax deduction as passed in the Tax Cuts and Jobs Act, and expressed concern that current efforts by the IRS are insufficient.

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