Members of the SALT Caucus and Republican House leadership have agreed to a compromise on raising the cap on state and local tax deductions, a breakthrough for the GOP as it tries to pass its $4 trillion tax-cut and spending bill.

A little-known provision that allows rich residents of high-tax states to lower their federal tax bill has become one of the biggest sticking points in negotiations over Republicans' massive spending plan.

Four conservative rebels voted “present” to let the bill move forward. Republicans said they would resume talks on Trump’s “big beautiful bill” on Monday.

WASHINGTON – Workers who rely on tips moved a step closer Tuesday to seeing a significant tax break when the U.S. Senate approved a new federal tax exemption. U.S. Sen. Ted Cruz, R-Texas, authored the bill, which was approved by unanimous consent, meaning no senator objected to its passage.

Trump's big beautiful bill gets crucial vote to move on. What to know about reconciliation bill details: no tax on tips, overtime or Social Security.