How Does the "Big Beautiful Bill" Impact My Business?
The "One Big Beautiful Bill Act" (OBBBA), colloquially known as the Big Beautiful Bill, is a sweeping piece of legislation signed into law in July 2025. Crafted with the intention of stimulating the U.S. economy, supporting entrepreneurs, and simplifying tax compliance, the bill introduces substantial tax changes, regulatory rollbacks, and credits aimed at small to mid-sized businesses.
But what does this mean for your business in practice?
This article breaks down the most important components of the Big Beautiful Bill, how they might impact your operations and finances, and how your company can proactively benefit from the changes.
Key Features of the Big Beautiful Bill
1. Permanent Qualified Business Income (QBI) Deduction
The 20% QBI deduction for pass-through entities like S-Corps, LLCs, and sole proprietorships is now permanent. This move provides long-term tax certainty and increased savings for entrepreneurs.
2. Enhanced Section 179 Expensing
The maximum deduction under Section 179 has been raised to $1.5 million for qualified equipment and property. This allows businesses to deduct the full cost of certain assets in the year of purchase, boosting capital investment.
3. Extended Bonus Depreciation
100% bonus depreciation is back through 2030, allowing full write-offs of qualifying assets, including used property, which is especially advantageous for startups and growing businesses.
4. R&D Tax Credit Expansion
Startups and tech-forward companies benefit from expanded Research and Development tax credits, particularly those with under $5 million in revenue.
5. New and Improved Tax Credits
Employer Tip Credit: Full credit for employer-paid Social Security tax on tips
Child Care Credit: Up to 50% for employer-provided child care
Overtime and Hiring Credits: Designed to incentivize job creation and retention
6. QSBS (Qualified Small Business Stock) Changes
The lifetime gains cap for QSBS has been increased to $75 million. If held for 5+ years, stockholders may receive 100% tax exemption on gains. This fuels investor interest and benefits founders planning exits.
7. Rollback of Clean Energy Incentives
While many business-friendly tax changes are included, the bill significantly scales back tax credits for electric vehicles (EVs), solar energy systems, and other green incentives. This may impact companies operating in the renewable energy space.
8. Social Program Reductions
Reductions in federal support for Medicaid, SNAP, and other safety net programs may lead to broader societal changes, possibly increasing healthcare and benefits costs for employers.
Practical Implications for Business Owners
Improved Cash Flow & Liquidity
By increasing immediate deductions and offering new credits, the bill puts more cash in the hands of business owners.
Increased Investment Incentives
The bonus depreciation and Section 179 expansion make it easier to justify purchasing new equipment or expanding office infrastructure.
Attracting Investors & Planning Exits
If you're a founder or startup leader, the QSBS expansion is particularly beneficial. It incentivizes angel and venture capital by offering more generous tax benefits on gains.
Industry-Specific Cautions
Green energy companies or those relying on federal benefit programs may experience reduced support or new compliance challenges.
Job Growth and Retention
With new hiring and overtime credits, it becomes more financially feasible to scale your workforce and retain employees.
Q&A: Big Beautiful Bill and Your Business
Q: Does my business qualify for the QBI deduction under this bill?
A: If you’re operating as a sole proprietorship, LLC, S-Corp, or partnership, and meet income thresholds, you likely qualify. Consult with your tax advisor to confirm.
Q: How does the bill help startups and tech firms?
A: The R&D tax credit expansion and QSBS updates make innovation-based startups much more attractive to investors, especially with the 100% gain exclusion.
Q: Will the rollback in energy incentives affect my business?
A: If you rely on EV credits or solar tax breaks, yes. Consider state-level credits as alternatives or plan early for budget adjustments.
Q: Can I claim both Section 179 and bonus depreciation?
A: Yes. You can use Section 179 first, and then apply bonus depreciation to remaining qualifying costs.
Q: What’s the difference between old and new QSBS rules?
A: Under the new bill, QSBS gains exclusions increased to $75M. Investors and founders enjoy full tax exemption on qualified stock held for five years.
How Brecken Business Solutions Can Help
Navigating the Big Beautiful Bill is complex—but with great complexity comes great opportunity. At Brecken Business Solutions, we help business owners:
Evaluate eligibility for new credits and deductions
Structure investments and operations for maximum tax efficiency
Prepare investor strategies using updated QSBS rules
Recalculate equipment ROI under Section 179 and bonus depreciation
Stay compliant with evolving state and federal regulations
Whether you’re a small business, scaling startup, or midsized enterprise, our experts tailor financial solutions that unlock the full benefits of the Big Beautiful Bill.
Call to Action
Take advantage of the Big Beautiful Bill before the window of opportunity narrows. Schedule your free tax impact consultation with Brecken Business Solutions today, and we’ll help you:
✅ Identify savings opportunities
✅ Improve capital planning
✅ Optimize your business structure
✅ Stay ahead of compliance risks
