Beginning in 2025, the state and local tax (SALT) deduction cap will temporarily rise from $10,000 to $40,000, offering short-term relief for many taxpayers in high-tax states. The higher limit will gradually adjust through 2029 before returning to $10,000 in 2030. However, the benefit phases out for individuals with modified adjusted gross income above $500,000, making income planning essential during this temporary expansion period.