Tax Breaks for Families, Giving & More: What the Big Beautiful Bill Means for You (Part 2)

Published by Turner Business Solutions

Helping individuals and small businesses navigate change with clarity and confidence.

The One Big Beautiful Bill isn’t just about paycheck relief — it also brings major changes for families, charitable givers, and estate planning. Whether you’ve got kids in private school, donate to your favorite causes, or are planning your financial legacy, this post breaks down the second wave of individual tax updates.

👶 Child Tax Credit Expanded

• Increased to $2,200 per eligible child

• Fully refundable — even if you owe no tax

• Phaseout starts at $200,000 AGI (single) and $400,000 AGI (MFJ)

  
  

🍼 “Trump Accounts” for Kids

A new tax-advantaged savings tool for minors:

• Annual contribution limit: $5,000

• Tax‑free growth, with qualified withdrawals for education, housing, or medical expenses

• No income limits on who can contribute

  
  

🙌 Charitable Deductions for Non-Itemizers

Standard deduction filers can now deduct modest charitable giving:

• Up to $1,000 (single) or $2,000 (MFJ) for cash donations to qualified 501(c)(3) nonprofits

• No need to itemize your return

🎓 Private School Tax Credit

The One Big Beautiful Bill offers a federal tax credit of up to $1,700 for donations to Scholarship-Granting Organizations (SGOs) — nonprofits that provide K–12 private school scholarships:

• It’s a dollar-for-dollar credit, not a deduction.

• Available to all taxpayers, regardless of income.

• SGOs must be active in your state to claim the credit.

  
  

🎲 Gambling Deduction Limit: 90% Rule Starts in 2026

Effective January 1, 2026, only 90% of gambling losses can be deducted against winnings.

Example: If you win $50,000 and lose $50,000, you can only deduct $45,000 — which means you'll be taxed on a phantom $5,000 gain, even though you broke even.

• Applies to both casual and professional gamblers

• Designed to curb abuse but may lead to unintended taxable income for high-volume players

  
  

⚰️ Estate & Gift Tax Exemption Increase

Planning your estate just got more flexible:

• Lifetime exemption increased from $13.61M → $20M per person

• Portability remains for married couples

• Applies to lifetime gifts, estate transfers, and generation-skipping transfers

  
  

📞 What This Means for You

• Families with kids may see thousands in new tax savings

• Non-itemizers now have more reasons to give

• Gamblers should prepare now to avoid surprise taxes in 2026

• Estate planning is more generous — but should still be proactive

  
  

Let’s Talk Strategy

Turner Business Solutions is here to help you make the most of these changes. Whether you're adjusting your family tax plan or thinking ahead to estate planning, we'll walk you through every option. (316) 285-0125

📅 Book a consultation today and keep more of what matters most.