The One Big Beautiful Bill Act: What You Need to Know About the Tax Changes

Published by Turner Business Solutions

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

The “One Big Beautiful Bill Act” (OBBB) has officially passed—and it brings some of the most sweeping changes to the tax code in recent years. Whether you’re filing as an individual, running a small business, managing a trust, or supporting a nonprofit, there’s something in this bill that could affect your financial landscape.

At Turner Business Solutions, we’ve broken down the tax-related provisions most relevant to our clients—small to medium-sized businesses, families, nonprofits, and those planning for the future. Here’s an overview of what’s changing, and why now is a good time to review your tax plan.

1. Individual Taxpayer Updates

If you file a personal return, several key changes could impact your tax liability this year:

• Wider Tax Brackets & Increased Standard Deduction

  The bill raises income thresholds across all tax brackets, which may reduce your effective tax rate. It also boosts the standard deduction to $15,750 for single filers and $31,500 for joint filers, offering broader tax relief without itemizing.

  
  

• Child & Earned Income Tax Credits

  The Child Tax Credit has increased modestly and is partially refundable. The Earned Income Tax Credit has expanded eligibility to include more low- and moderate-income earners, including those without qualifying children.

  
  

• Retirement Savings Incentives

  Contribution limits for traditional IRAs, Roth IRAs, and 401(k) plans have increased, allowing taxpayers to save more toward retirement while lowering their taxable income.

  
  

• Adjusted Charitable Contribution Limits

  For individuals, the deduction limit increases to 60% of AGI.

  
  

2. Small and Medium Business Changes

The Act includes targeted provisions designed to help small business owners stay competitive and grow with confidence:

• Expanded Small Business Tax Credit

  Eligibility for existing small business tax credits has been broadened, making it easier for businesses with modest payroll and gross receipts to qualify.

  
  

• Pass-Through Deduction (Section 199A)

  The 20% deduction for qualified business income (Section 199A) remains in place, with adjustments to income phase-out thresholds that benefit more mid-sized firms.

  
  

• Bonus Depreciation Extended

  Full bonus depreciation is extended for several additional years, continuing to allow businesses to deduct 100% of qualified asset purchases in the year of acquisition.

  
  

• Simplified Payroll Tax Treatment

  Small employers may see fewer administrative hurdles around payroll tax deposits and reconciliation, with some streamlined compliance options introduced.

  
  

3. Corporate and Entity-Level Taxation

Larger businesses and incorporated entities should take note of several strategic changes:

• Corporate Tax Rate Adjustment

  The flat corporate tax rate is reduced slightly to 20%, with additional credits available for domestic workforce training and rural investment.

  
  

• Investment & Manufacturing Incentives

  New tax breaks promote U.S.-based manufacturing, energy efficiency projects, and research & development, especially in underserved communities.

  
  

• International Tax Updates

  Modifications to GILTI and BEAT rules bring U.S. policy closer to global standards, reducing overlap and improving compliance for multinational entities.

  
  

• Relief for Multi-State Businesses

  Certain thresholds have been introduced to help small corporations avoid complex multi-state tax filing if they operate across jurisdictions but fall under modest revenue levels.

  
  

4. Trusts, Estates, and Wealth Planning

Planning your estate or managing a trust? These updates could impact your long-term strategy:

• Estate & Gift Tax Exemption Reduced

  The estate and lifetime gift tax exemption has been reduced from prior levels, which may subject more estates to federal taxation and accelerate the need for lifetime giving strategies.

  
  

• New Trust Reporting Requirements

  Domestic trusts must now include expanded information returns, particularly those with foreign grantors, beneficiaries, or accounts, in an effort to increase transparency.

  
  

• Step-Up in Basis Preserved—With a Catch

  While the step-up in basis remains in place, certain high-value grantor trusts now face new reporting obligations that could impact estate planning techniques going forward.

  
  

5. Nonprofit and Charitable Organizations

Nonprofits face both new opportunities and stricter compliance guidelines under the OBBB Act:

• Increased Transparency Requirements

  Larger nonprofits must now include additional breakdowns of program expenses and donor categories, increasing reporting transparency to the IRS and the public.

  
  

• Expanded Unrelated Business Income (UBI)

  The definition of UBI has been updated, with clearer rules around income-producing activities not directly tied to a nonprofit’s exempt purpose.

  
  

6. What This Means for You

This legislation affects nearly every taxpayer. For individuals, it could mean new savings opportunities and changed filing thresholds. For business owners, it’s a chance to revisit your entity structure, payroll systems, and investment plans. And for nonprofits or estate planners, compliance and reporting will need more attention than ever.

Conclusion

At Turner Business Solutions, we believe in turning complexity into clarity. The One Big Beautiful Bill Act represents a significant shift in tax law, but you don’t have to navigate it alone. In the coming weeks, we’ll be publishing more detailed posts on each major area—from small business deductions to charitable giving strategies.

In the meantime, if you have questions or want to understand how these changes impact your specific situation, we’re just a phone call or email away. (316) 285-0125 or schedule a consultation online.

Let’s make the most of what’s next—together.