The One Big Beautiful Bill Act includes significant changes with varying effective dates. The following guide outlines the changes and their effective dates.
OBBBA Provisions Affecting Businesses
| Provision | Effective Date | Permanent or Temporary |
| Research and Experimentation (R&E) Deductions | Retroactive to 2022 for small businesses (less than $31M in average gross receipts for tax years 2022-2024), Otherwise effective for tax years beginning after Dec. 31, 2024. | Permanent |
| Bonus Depreciation | Acquired & placed in service post-Jan. 19, 2025 | Permanent |
| Qualified Production Property | Construction begins after January 19, 2025, and before Jan. 1, 2029. | Placed in service prior to Jan. 31, 2031 |
| Business Interest Limitation | Tax years beginning after Dec. 31, 2025 | Permanent |
| Section 179 Expensing | Placed in service in tax years beginning after Dec. 31, 2024 | Permanent |
| Excess Business Losses Limitation | No change | Permanent |
| Executive Compensation | Tax years beginning after Dec. 31, 2025 | Permanent |
| ERTC | Applies to Q3 (and some Q4) 2021 | Permanent |
| Disguised Sales | No substantive change | Permanent |
| Clean Energy | Various, but most eliminated | Permanent |
| Qualified Opportunity Zones | Jan. 1, 2027 | Permanent |
| New Markets Tax Credits | No substantive change | Permanent |
| Employer-provided Child Care | Expenses incurred after Dec. 31,2025 | Permanent |
OBBBA Provisions Affecting Individuals
| Provision | Effective Date | Permanent or Temporary |
| Tax Rates | More favorable COLA for 2025 and beyond | Permanent |
| Standard Deduction | More favorable COLA for 2025 and beyond | Permanent |
| Personal Exemption | Immediate because permanent repeal | Permanent |
| SALT Cap | 2025 with inflation adjustments | Temporary 2025-2028 |
| PTET | Status quo | Permanent |
| Section 1202 QSBS | Stock issued after July 4, 2025 | Permanent |
| Section 199 QBI | No substantive change | Permanent |
| Charitable Contributions | Tax years after Dec. 31, 2025 | Permanent |
| Child Tax Credit | Tax years after Dec. 31, 2024 | Permanent |
| AMT Exemption | No substantive change | Permanent |
| Limitation of Tax Benefit of Itemized Deductions | Tax years after Dec. 31, 2025 | Permanent |
| Repeal of Certain Miscellaneous Itemized Deductions | Immediate because permanent repeal | Permanent |
| Loan Limit on Interest Deduction on Principal Residence | No substantive change | Permanent |
| Personal Casualty Losses | Minor substantive change for tax years beginning after Dec 31, 2025 | Permanent |
| Wagering Losses | Tax years after Dec. 31, 2025 | Permanent |
| Moving Expenses | Immediate because permanent repeal | Permanent |
| Tip Income | Tax years after Dec. 31, 2024 | Temporary 2025-2028 |
| New Deduction for Seniors | Tax years after Dec. 31, 2024 | Temporary 2025-2028 |
| Overtime Pay | Tax years after Dec. 31, 2024 | Temporary 2025-2028 |
| Interest on Domestic Auto Purchases | Tax years after Dec. 31, 2024 | Temporary 2025-2028 |
| Clean Energy — Energy Efficient Home Credit | Placed in service after Dec 31, 2025 | Permanent |
| Clean Energy – Other Individual Credits | Expenditures made after Dec 31, 2025 | Permanent |
| Family Medical Leave and Adoption Credit | Tax years after Dec. 31, 2024 | Permanent |
| Section 529 Accounts | Distributions after July 4, 2025 | Permanent |
| Trump Accounts | July 4, 2026 | Permanent |
OBBBA Provisions Affecting Colleges, Universities
| Provision | Effective Date | Permanent or Temporary |
| Excise Tax on Colleges and Universities | Tax years beginning after Dec. 31, 2025 | Permanent |
OBBBA Provisions Affecting Trusts, Estates & Gifts
| Provision | Effective Date | Permanent or Temporary |
| Tax Rates | No substantive change | Permanent |
| Exemption | No substantive change | Permanent |
OBBBA Provisions Affecting Businesses with International Operations
| Provision | Effective Date | Permanent or Temporary |
| Global Intangible Low-taxed Income (GILTI) | Tax years beginning after Dec. 31, 2025 | Permanent |
| Foreign-derived Intangible Income (FDII) | Tax years beginning after Dec. 31, 2025 | Permanent |
| Base Erosion and Anti-abuse Tax (BEAT) | Tax years beginning after Dec. 31, 2025 | Permanent |
| Controlled Foreign Corporation (CFC) Provisions | Various | Permanent |
| Foreign Tax Credits | Tax years beginning after Dec. 31, 2025 | Permanent |
DISCLAIMER: This information is a brief summary and may not include all the details relevant to an individual situation. Please contact your CBIZ service provider for further discussion.
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