Texas SALT Cap Calculator: No Income Tax States
Enter your MAGI and total state + local taxes below. The estimate applies the OBBBA cap and phase-out line by line — no tax software, no signup.
The short answer: Jolene — at the scenario numbers pre-loaded below, the OBBBA deduction is $1,000, worth about $220 in federal income tax at a 22% marginal rate ($8 per biweekly paycheck). Exact figures update live as you change the inputs.
⚠️ This calculator provides estimates for informational and educational purposes only. It is not tax advice. Results are based on the One Big Beautiful Bill Act (OBBBA) and IRS Schedule 1-A. Consult a qualified tax professional for your specific situation.
Your State's Slice of the $40,000 Cap
No-income-tax states get a modest but real win: property tax alone used to clear the $10,000 cap by inches; now $11,000 sits far below $40,000, so the entire bill deducts. The sales-tax election matters less than before — deducting sales tax instead of income tax only helps if you made huge taxable purchases. High-income Texans near the $500,000 phase-out lose cap room on property tax alone only slowly.
The full rules, caps and phase-outs for every deduction are in one table on the OBBBA rules page.
Worked Example
Jolene pays no state income tax but $11,000 of property tax on her Dallas home.
- • Deductible amount: $1,000
- • Federal income tax savings: $220 (at the 22% marginal rate)
- • Per biweekly paycheck: $8
Your actual state tax bill sets the input; the cap and phase-out above set the ceiling — the calculator reconciles both.
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Frequently Asked Questions
Does the SALT cap help Texans with no income tax?
Yes, a little: your property tax (up to the cap) is fully deductible, and under OBBBA the cap is high enough that most Texas homeowners deduct every dollar. Before 2025, property taxes above $10,000 got nothing extra.
Which taxes count toward the SALT deduction?
State and local income taxes (or sales tax if you elect that instead) plus real property taxes, up to the OBBBA cap after any income phase-out. Federal taxes never count.