On May 22, 2025, the U.S. House of Representatives passed “The One Big, Beautiful Bill,” a comprehensive tax reform package aimed at reforming the U.S. tax code.
Key provisions include:
- Enhanced flexibility for domestic R&D costs, allowing immediate deductions or varied amortization options.
- Reinstatement of 100% first-year “bonus depreciation,” an increase in the Section 179 deduction cap to $2.5 million, and the addition of a 100% depreciation allowance for certain commercial real property.
- Revised Section 199A (QBI) deduction provisions with an increased deduction rate of 23%.
- Expansion of business interest deduction and modification to excess business loss calculation.
- Renewal of the QOZ program with modified eligibility and reporting requirements.
- New incentives for rural and agricultural…
