SALT is an acronym for State & Local taxes. The law limits the deduction of state and local income, sales, and property taxes to a combined, total deduction of $10,000. The amount is $5,000 for married taxpayers filing separate returns. Taxpayers cannot deduct any state and local taxes paid above this amount. So, you may have already been maxed out on that deduction.
When you itemize deductions, you can choose to deduct either state and local taxes (SALT) or your sales taxes paid during the year. The SALT deduction (which is either state/local income tax plus property tax OR sales tax plus property tax) is capped at $5,000 for married couples filing separately and $10,000 for all other filers. In 2017 and earlier, there was no cap.
Here's an example that compares the changes.
Minnesota allows the larger of itemized deductions or the standard deduction. Taxpayers may claim itemized deductions on the Minnesota return even if the standard deduction was claimed on the federal return.
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