The fate of the state and local tax deduction, or SALT, is dividing lawmakers by geography as well as politics.

Congress is likely to pass a tax cut on tipped wages this year. What we know about President Donald Trump's "one, big, beautiful, bill."

If the House provision is enacted, the SALT cap would rise to $40,000, up from $30,000 in the previous plan, and phase out over $500,000.

If passed by the Senate, the new expanded SALT cap would benefit millions of big earners in high-tax states, including New York, New Jersey, Pennsylvania, Maryland, Oregon and California.

The cost for a 30-year fixed-rate mortgage crept up to levels not seen since February, reflecting bond market fears over Trump’s plan to pay for tax cuts with an estimated $3.8 trillion in new debt. “Trump and Republicans are directly responsible for the spike in the 30-year Treasury bond yield and mortgage rates,

Under the bill, employees would be eligible for an annual income tax deduction of $25,000 for some types of cash tips.

The spending bill passed by the U.S. House increases a tax the richest private universities pay on their endowment investment gains, a move proponents say reins in "woke" schools but that critics say will wind up hurting the poorest students the most.

The Dow closed lower by 817 points, or 1.91%. The broader S&P 500 slid 1.61% and the tech-heavy Nasdaq Composite fell 1.41%. The three major indexes each posted their worst day in one month.

Chances of a close brush with a US payment default are growing as the Senate plans for time-consuming revisions to President Donald Trump’s sprawling, multi-trillion-dollar tax and spending package.