#OneBigBeautifulBill
Key Provisions and Impact
Obbba is a comprehensive bill that touches on various aspects of the American economy and government. Its primary goal is to implement key components of President Trump's second-term agenda.
Tax Policies:
Permanent Tax Cuts: Permanently extends the individual income tax rates from the 2017 Tax Cuts and Jobs Act (TCJA), which were initially set to expire at the end of 2025.
Increased SALT Deduction: Raises the cap on the state and local tax (SALT) deduction to $40,000 for taxpayers earning under $500,000, although this cap reverts to $10,000 after five years.
New Temporary Deductions: Includes temporary tax deductions for tips, overtime pay, and auto loan interest.
Trump Accounts: Creates tax-deferred "Trump Accounts" to provide for parents for their children's endowment, which are scheduled to expire in 2028.
Increased Child Tax Credit: Includes a permanent $200 increase in the child tax credit.
Investment Income Tax Hike: Imposes a 1% tax on endowments and raises taxes on investment income from college endowments.
Business Tax Breaks: Reinstates 100% bonus depreciation for qualified property and expands small business expense limits.