House passes fiscal year 2025 budget reconciliation bill, OBBBA
On May 22, 2025, the U.S. House of Representative’s passed the H.R.1 – One Big Beautiful Bill Act (OBBBA) that in current form, proposes to extend and make permanent most of the Tax Cuts and Jobs Act (TCJA) tax provisions, including the estate and gift tax exemption. OBBBA also introduces modifications such as increasing the SALT deduction cap, subject to phase-out at certain income thresholds, and revising the Qualified Business Income deduction under Section 199A, as applied to Specified Service Trades or Businesses (SSTBs).
Next steps
Because the Bill needs separate consideration by the Senate and relies on budget reconciliation procedures to pass as legislation with a simple majority vote, significant changes to the version approved by the House are still likely. Keiter will continue to track the progress of OBBBA as it moves to the Senate for consideration. The Senate is expected to take up the OBBBA in June 2025, with a target date of July 4, 2025, for the Bill’s enactment.
Your Keiter Opportunity Advisors will keep you informed of changes for proactive planning.
Additional resource
Passed: The One, Big, Beautiful Bill Moves One Step Closer to President Trump’s Desk
About the Author
Ann Ramage, CPA, Partner
Ann has 20 years of experience providing tax planning opportunities and insights to operating entities, investment partnerships, trusts and high wealth individuals and families. Ann is a member of Keiter’s Family, Executive, and Entrepreneur Advisory Services team and works closely with individuals and family offices to address their various tax compliance, consulting and estate planning needs.
More Insights from Ann RamageThe information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.
