Federal lawmakers are hoping to pass a tax reform bill by the end of the 2017 year. The current proposals to overhaul the tax code involve changing tax rates as well as eliminating many of the current tax deductions.

There are many tax deductions that individuals and businesses take in order to reduce their tax liability. One of the most popular of the itemized deduction is called the SALT deduction. The SALT deduction is an acronym used to describe the state and local tax deduction. Essentially, tax-filers who take the SALT deduction pay taxes to their states in the form of real estate taxes, local income taxes, and other related tax costs. 

When President Donald J. Trump took office, the Republican Party took control of all three branches of the federal government and the party had big plans for making substantial changes to Obamacare and to the tax code. 

A Virginia tax lawyer can provide you with advice on taking advantage of tax breaks that will help you to reduce the amount that you owe the government each year. One of the best tax breaks that you can make use of to reduce your tax liability is the deduction for 401(k) contributions.