Federal Judge Tosses Lawsuit Against Trump Administration’s State and Local Tax Cap

President Donald Trump signs the Tax Cut and Reform Bill in the Oval Office at the White House in Washington, on Dec. 22, 2017. Brendan Smialowski/AFP/Getty Images

A federal judge in Manhattan has dismissed a lawsuit seeking to overturn the Trump administration’s state and local tax deduction cap.

U.S. District Judge J. Paul Oetken ruled that the federal government was within its rights to impose an income tax that did not give people the ability to deduct state and local taxes (SALT) with no upper limit.