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You may have heard or read about significant changes to federal tax law resulting from the enactment of the One Big Beautiful Bill Act, OB/BBA, signed into law in 2025. This sweeping legislation makes permanent and enhances many provisions originally enacted under the Tax Cuts and Jobs Act, introduces new deductions and credits and repeals or restricts several recent tax incentives. I'm Jennifer Gibbs with Begley and Associates and I'm here to summarize some of the most important provisions that may affect you, your family, or your business, effective for tax years ending after December 23, 2024, unless otherwise noted. These are some provisions regarding education and family incentives. Child and dependent care credit. The applicable percentage is increased to 50%, phased down to 35% at $15,000 AGI, then to 20% at $75,000 AGI or 150,000 Joint. Employer student loan payments. The exclusion for employer paid student loans is made permanent with inflation adjustments. New Trump accountss A new tax-advantaged savings account for children under 18 with a $5,000 annual contribution limit, employer and charitable contributions, and a $1,000 government-funded pilot for newborns between 2025 and 2028. We recommend reviewing your current tax situation and planning strategies in light of these changes. Many of the new provisions are effective for tax year 2025, but some have immediate or phased-in effective dates. These are just a few of the changes resulting from the enactments of the One Big Beautiful Bill Act. Check out our YouTube channel for more videos about OB/BBA provisions. Please contact us to discuss how these changes may affect your individual or business tax planning. Thank you.

You may have heard or read about significant changes to federal tax law resulting from the enactment of the One Big Beautiful Bill Act, OB/BBA, signed into law…