U.S. Supreme Court Snubs Challenge To State And Local Tax Cap
![A pedestrian walks by the U.S. Supreme Court building in Washington, U.S. March 15, 2022.](https://d.ibtimes.com/en/full/3477540/pedestrian-walks-us-supreme-court-building-washington-us-march-15-2022.jpg?w=736&f=503af864aa8cd4f34aaf30e04eb486e2)
The U.S. Supreme Court on Monday rejected a bid by four Democratic-leaning states to lift a cap on federal deductions for state and local taxes put in place as part of a 2017 tax overhaul under Republican former President Donald Trump.
The justices turned away an appeal by New York, Connecticut, Maryland and New Jersey after a lower court threw out their lawsuit. The lower court held that the U.S. Congress had broad authority over taxes and did not violate the U.S. Constitution by placing a $10,000 limit on the amount of state and local taxes that individuals may deduct on their federal income tax returns.
Democratic President Joe Biden's administration opposed the four states.
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