in carrying on a trade or business or an activity described in section 212) taken into account under subsection (a)(1) for any taxable year shall not exceed $10,000 ($5,000 in the case of a married individual filing a separate return), (C) subsection (a)(2) shall only apply to taxes which are paid or accrued in carrying on a trade or business or an activity described in section 212, and (D) subsection (a)(3) shall not apply to State and local taxes. . (b) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2017. 1304. Repeal of deduction for personal casualty losses (a) In general Section 165(c) is amended by inserting and at the end of paragraph (1), by striking