🚀 Big Changes for 529 Plans: The OBBBA Unlocks More Education Funding!

The One, Big, Beautiful Bill Act (OBBBA) contains enhancements to Section 529 plans. The new law expands the list of educational expenses that can be paid with tax-free distributions. Starting in 2026, 529 plan funds can cover qualified expenses, including books, online instructional materials, tutoring or classes outside the home, and some testing fees. In […]

Immediate deduction for R&D Credit reinstated in Big, Beautiful Bill

Does your business incur research and experimentation (R&E) expenses? The One, Big, Beautiful Bill Act reinstates the immediate deduction for research activities conducted in the United States, beginning in 2025. Before the new law was enacted, R&E expenses had to be capitalized and amortized over five years, beginning on or after Jan. 1, 2022. What […]

What is ordinary and necessary?

“Ordinary and necessary” business expense tax deductions are allowed when carrying on an active trade or business. In one case, a taxpayer engaged in real-estate-related activities. His business expense and depreciation deductions were denied by the U.S. Tax Court. The court ruled that the activities didn’t constitute an active trade or business. Instead, the property […]

🏛️ Estate Tax Win: $15M Exemption Made Permanent — Wealth Transfer Just Got Easier 💼👨‍👩‍👧‍👦

Individuals with sizable estates can breathe a sigh of relief when it comes to the federal estate tax. Currently, the federal gift and estate tax exemption is $13.99 million for individuals ($27.98 million for married couples). This exemption was scheduled to revert to $5 million (plus inflation adjustments) in 2026. But under the One, Big, […]

🏡 Big Tax Break Could Be Coming for Home Sellers — Say Goodbye to the $250K Cap? 💰

If a new bill gains traction, there could be good news ahead for homeowners looking to sell their homes. Currently, qualified sellers can exclude up to $250,000 in capital gains from the sale of a primary residence ($500,000 for married couples filing jointly). This limit was set in 1997. U.S. Rep. Marjorie Taylor Greene (R-GA) […]

📈 IRS Cracks Down on High Earners & Partnerships — But Will It Last? 💼🔍

A new Treasury Inspector General for Tax Administration (TIGTA) report says that IRS audits of high-income taxpayers and partnerships increased from fiscal years 2020 through 2023. Although audits of large corporations fell during the period, “examination starts” for partnerships rose by 63%. Audit rates of individuals with incomes over $400,000 rose from 5.2% in 2020 […]

🚗💰 New Tax Break Alert: Deduct Up to $10K on Your Next Car!

One of the lesser-known provisions of the One, Big, Beautiful Bill Act is a new deduction for certain vehicle interest. This provision allows taxpayers to deduct up to $10,000 in interest on loans to buy new cars, minivans, vans, SUVs, pickup trucks and motorcycles. Vehicles must be purchased for personal (not business) use and final […]

Bill makes changes to premium tax credits

If you receive Premium Tax Credits (PTCs) under the Affordable Care Act, be aware that the One, Big, Beautiful Bill Act makes some significant changes to the requirements. Beginning in 2028, eligible individuals must annually verify household income, immigration status and place of residence. Previously, many insured individuals were allowed to automatically re-enroll annually. And […]

Bill makes changes to student loan debt

The One, Big, Beautiful Bill Act (OBBBA) makes changes to two types of student loan debt. Forgiven student loan debt generally is treated as taxable income, but tax-free treatment is available for student loan debt forgiven after Dec. 31, 2020, and before Jan. 1, 2026. Under the OBBBA and beginning in 2026, only student loan […]

⏳ Extended Tax Filing Deadline Is Oct. 15 — Don’t Wait to File

If you requested an extension to file your tax return after the April 15, 2025, due date, the extended deadline is Wednesday, Oct. 15. If you have the information you need, you may want to file now. There’s no advantage to waiting, and last-minute filing may lead to worry. If you’re concerned about paying any […]