Trump’s Tax Bill Just Dropped: Are You Ready for What’s Coming?
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Trump’s Tax Bill Just Dropped: Are You Ready for What’s Coming?

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Heads up — some big tax changes are heading your way, and if you’re a business owner (or about to become one), you’ll want to be paying attention.


The One Big Beautiful Bill Act (OBBBA) passed in July 2025 introduced some permanent changes and several temporary breaks that could save you a lot if you act before the year ends. Here’s what small business owners and entrepreneurs need to know.


1. Don’t Automatically Skip Itemizing


The OBBBA temporarily increases the SALT (State and Local Tax) deduction cap to $40,000 through 2029 — a huge jump from $10,000. If your mortgage interest, charitable contributions, and state/local taxes add up higher than the standard deduction ($31,500 for married couples, $15,750 for singles), itemizing can save you money.


⚠️ Watch Your Income: If your adjusted gross income (MAGI) is over $500K, the benefit starts phasing out. Large capital gains or Roth conversions could eat the deduction, so plan carefully.


2. Take Advantage of Targeted Deductions


The OBBBA introduced temporary deductions for middle-income earners:

  • Qualified Overtime Pay Deduction – up to $25,000 for married couples, phases out above $300K MAGI.

  • Qualified Tips Income Deduction – write off reported tips, phased out for higher incomes.

  • Car Loan Interest Deduction – up to $10,000 for new personal vehicles assembled in the U.S., phased out for higher earners.


3. Seniors: Time Your Roth Conversions


If you’re 65+, a $12,000 temporary deduction (married) is available, but income phaseouts start at $150K. A large Roth conversion could wipe out this deduction — planning is essential.


4. Optimize Income to Stay Under Phaseouts


Many of the best breaks are income-sensitive. Consider:

  • Deferring capital gains or stock options

  • Maximizing 401(k) and HSA contributions

  • Timing Roth conversions


Why this matters for YOUR business now


Because the tax game isn’t just about filing — it’s about planning. If you sit back and wait until next January to react, you’re playing catch-up. But if you lean in now, you can actually use these changes to your advantage.


Here’s how:

  • Get your books in order — accurate income and expenses are the foundation of any smart strategy.

  • Use the increased standard deduction and business tax changes to structure your expenditures and entity type the right way.

  • Make strategic year-end decisions like buying equipment, hiring help, or adjusting your business model so you benefit from the rules.

  • Don’t wait until the forms stack up. Book a session and map your path before the calendar flips.


Your next move


Tax-law changes don’t belong only to the “big guys.” You’re included. So yes — this is the moment. Take a second now, review what’s changed, and ask yourself: “Am I ready?”


If you’re not sure, we can talk it through together and build a plan that makes the law work for you.



—Jarde’ Allen

Founder & CEO | In The Moment Financial Services

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