June 9, 2025

The One Big Beautiful Bill Act is generating significant attention for its sweeping tax and business reforms. While the bill has passed the House of Representatives and is moving through Congress, it has not yet become law. As a business owner, it’s crucial to understand what’s proposed, what could change, and how to prepare—while keeping in mind that these provisions are not yet finalized.

Key Provisions in the Proposed Legislation

• Expanded Small Business Deduction
  The bill would make the Small Business Tax Deduction permanent and increase its value from 20% to 23%, offering substantial and ongoing tax relief for pass-through business owners.
• Full Expensing for Investments
  It proposes restoring and making permanent the ability to fully expense equipment and research and development investments, improving cash flow and incentivizing growth.
• Higher Section 179 Cap
  The Section 179 expensing limit would double, allowing more immediate write-offs for equipment and qualifying property.
• Permanent Lower Individual Rates
  By making lower individual tax rates permanent, the bill would help pass-through business owners avoid scheduled tax increases, offering more certainty for long-term planning.
• Estate Tax Exemption Increase
  The estate tax exemption would rise, making it easier for business owners to transfer their businesses to the next generation without triggering federal estate taxes.
• Simplified Compliance
  Increased 1099 reporting thresholds and other administrative changes would reduce paperwork and compliance burdens.

What Should Business Owners Do Now?

Stay Informed and Be Proactive

• The bill is not law yet. It has passed the House but awaits action in the Senate, with a target for enactment set for July 2025.
• Provisions could change during the legislative process, so it’s important to monitor updates and understand how the final law might differ from the current proposal.

Get a Head Start on Planning

• Review your current tax, accounting, and estate strategies with your advisory team.
• Run “what-if” scenarios using the proposed changes to identify potential opportunities or risks.
• Consider how proposed changes to deductions, expensing, and estate tax exemptions might affect your business and personal plans.

Connect With Us

Our integrated team is closely tracking the progress of the One Big Beautiful Bill Act. While the final details are not set, we can help you evaluate how the bill—if enacted—could affect your business, wealth, and succession plans. Reach out today to schedule a consultation and get a head start on planning for the future.

We will keep you updated as the bill moves through Congress. Contact us to discuss how you can prepare for potential changes and position your business for success—no matter what the final legislation brings.

Sources:

1. https://www.congress.gov/bill/119th-congress/house-bill/1/text
2. https://www.congress.gov/bill/119th-congress/house-bill/1
3. https://www.skadden.com/insights/publications/2025/05/the-one-big-beautiful-bill-act
4. https://www.crfb.org/blogs/breaking-down-one-big-beautiful-bill
5. https://www.nfib.com/news/analysis/one-big-beautiful-bill-act-includes-top-small-business-priorities/
6. https://thehill.com/opinion/congress-blog/politics/5335379-american-tax-cuts-reform/
7. https://www.whitehouse.gov/articles/2025/06/mythbuster-one-big-beautiful-bill-cuts-spending-and-more-cuts-are-on-the-way/
8. https://www.whitehouse.gov/articles/2025/06/50-wins-in-the-one-big-beautiful-bill/
9. https://waysandmeans.house.gov/wp-content/uploads/2025/05/The-One-Big-Beautiful-Bill-Section-by-Section.pdf