State and local tax deductions on federal income tax forms would remain capped at $10,000 under a plan released Monday by the Republican-led Senate Finance Committee-a limit with significant implications for California taxpayers.

The legislation keeps some House provisions, like new Medicaid rules, while making significant changes in other areas, including Medicare and the state and local tax deduction.

Democratic critics predict Lawler and his allies will eventually cave and agree to whatever deal Trump and other Republican allies agree to.