Tax Planning Guide 2026
The tax buzz for 2026 is the One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025. This comprehensive reconciliation package addresses a wide range of policy areas, including tax reform, defense spending, the debt ceiling, social programs, and student loan reform.
On the tax front, the OBBBA affects all taxpayers. The Act makes permanent or extends several individual provisions from the Tax Cuts and Jobs Act (TCJA) that were to expire after 2025, raises the state and local tax (SALT) deduction cap to $40,000, and increases the amount of assets you can transfer free of gift and estate tax. It also introduces a host of new income-tax deductions.
For businesses, OBBBA restores immediate expensing of domestic R&D costs, permanently increases bonus depreciation to 100%, and eases the limitation on interest expense deductions. To offset its costs, the bill phases out or repeals various energy tax credits. Several provisions will affect your 2025 tax filing season as well as your 2026 tax planning.
The OBBBA changes, coupled with the numerous already-in-place inflation adjustments that affect everything from retirement and estate planning to personal and corporate income-tax brackets, make reviewing your investment, estate plan, retirement planning, and business strategies with your tax professional more crucial than ever in 2026. They can help you look at the whole picture and assist you in taking steps to ensure a finally secure future.