A levy on the assets of billionaires was rejected in negotiations.
The proposal targets those who for three years have assets worth at least $1 billion.
The new idea under is to reinstate the limit from 2024 to 2027, and return to a full deduction in 2028.
Policymakers have plenty of ways to raise revenue that do not require an increase in marginal tax rates.
In lieu of tax hikes, Democrats are considering increased federal oversight of Americans' financial lives.
Democrats' scaled back spending package could still deal with state and local tax deduction caps.
A $10,000 threshold still leaves many non-wealthy Americans with a bank account subject to federal surveillance.
Democrats advocating for a bigger SALT deduction had been pushing for a two-year repeal of the $10,000 cap.
The tax break is particularly valuable in high-tax states that also happen to be Democratic strongholds.
The idea is essentially a scaled-back version of Senator Elizabeth Warren's wealth tax.
Please log back in before proceeding.
There was an error logging in. Please try again.
Congrats! You are now logged in. Your exam is being submitted.
