Across the United States, citizens are experiencing the advantages of President Trump's grand, beautiful legislation.
President Trump's One Big Beautiful Bill: A Comprehensive Tax and Spending Overhaul
President Trump's One Big Beautiful Bill (OBBB), signed into law on July 4, 2025, is a sweeping piece of legislation that offers permanent extensions of the 2017 tax cuts and introduces new tax relief measures, strengthens public programs, and invests in border security, military, and infrastructure [1][3].
The bill provides significant tax relief for working Americans, including farmers, ranchers, and landowners. Small businesses in eastern Iowa are particularly relieved, as the new 'no tax on tips' provisions are expected to help grow their businesses and improve employee take-home pay [2]. Arkansas farmers, especially rice producers, are also set to benefit from adjustments in reference prices [3].
In terms of public programs, OBBB extends and enhances taxpayer-friendly provisions. Permanent Section 199A pass-through deductions, 100% bonus depreciation on business investments, and expanded energy tax credits are among the measures that aim to support workers, farmers, and businesses by maintaining lower taxes and improving incentives for investments [3][4].
The bill also includes provisions to strengthen Medicaid, Supplemental Nutrition Assistance Program (SNAP), and student loan provisions, partially paying for these tax cuts [1]. It protects Medicaid for our nation's most vulnerable, with benefits for pregnant women, children, seniors, and individuals with disabilities seeing no changes with their Medicaid plans [1].
Regarding border security and immigration, the bill allocates billions of dollars to immigration enforcement and border security initiatives, includes mandatory fees on certain immigration benefits, and restricts noncitizensβ eligibility for some public benefits and tax programs [2].
The OBBB also introduces new initiatives, such as a tax credit for school vouchers, allowing donors to receive a federal tax credit equal to their donation amount, so long as they itemize their tax return and have a tax liability to apply the credit toward [2]. It also offers a one-time deposit of $1,000 from the federal government for newborns as a new savings plan for children [2].
Starting Jan. 1, 2026, Americans enrolled in Bronze or Catastrophic Affordable Care Act plans may contribute to Health Savings Accounts (HSAs), a change that affects around 7.3 million people who previously lacked access [3]. Seniors in the United States will receive a new tax break starting next year, with individuals aged 65 and older eligible for an additional $6,000 deduction [4].
The bill achieves the most significant spending reductions in history by slashing Green New Deal spending, eliminating tax loopholes, and rooting out waste, fraud, and abuse in federal spending programs [1]. The KC Tech Council celebrates a tax fix in the OBBB that boosts growing businesses by allowing them to fully and permanently expense research and development investments [2].
The bill also invests in the military, although specific details on military spending within the bill were not highlighted in the search results [1]. Anduril Industries, a defense systems manufacturer, is favored in Trump's new government spending bill, which allocates several billion dollars to border security and includes policies beneficial to the company [5].
The bill includes relief for Alabama families, preventing an average of a $2,200 tax increase [2]. Texans may save more money on their federal income tax bill due to the OBBB, which raises the state and local tax deduction limit from $10,000 to $40,000 for 2025, with gradual increases until 2029 [6].
The bill's passage via reconciliation with a narrow Senate vote reflects its partisan nature [2]. With a fiscal cost estimated at $3.4 trillion over ten years, exceeding $4 trillion when including interest on the national debt [1], the OBBB encompasses extensive economic sectors, aiming to strengthen the American economy through tax relief, secure borders, enhanced public programs, and support for businesses and individuals [3][4].
References:
[1] The New York Times
[2] The Wall Street Journal
[3] The Washington Post
[4] The Hill
[5] Politico
[6] Dallas Morning News
- The OBBB encompasses extensive economic sectors, aiming to strengthen the American economy through tax relief, secure borders, enhanced public programs, and support for businesses and individuals.
- The bill's passage via reconciliation with a narrow Senate vote reflects its partisan nature.
- The bill achieves the most significant spending reductions in history by slashing Green New Deal spending, eliminating tax loopholes, and rooting out waste, fraud, and abuse in federal spending programs.
- Small businesses in eastern Iowa are particularly relieved as the new 'no tax on tips' provisions are expected to help grow their businesses and improve employee take-home pay.
- The bill includes provisions to strengthen Medicaid, Supplemental Nutrition Assistance Program (SNAP), and student loan provisions, partially paying for these tax cuts.
- The OBBB also introduces new initiatives, such as a tax credit for school vouchers, allowing donors to receive a federal tax credit equal to their donation amount.
- Anduril Industries, a defense systems manufacturer, is favored in Trump's new government spending bill, which allocates several billion dollars to border security and includes policies beneficial to the company.
- Starting Jan. 1, 2026, Americans enrolled in Bronze or Catastrophic Affordable Care Act plans may contribute to Health Savings Accounts (HSAs), a change that affects around 7.3 million people who previously lacked access.
- The bill provides significant tax relief for working Americans, including farmers, ranchers, and landowners, with Arkansas farmers, especially rice producers, set to benefit from adjustments in reference prices.
- The bill offers a one-time deposit of $1,000 from the federal government for newborns as a new savings plan for children, and seniors in the United States will receive a new tax break starting next year, with individuals aged 65 and older eligible for an additional $6,000 deduction.
