The One Big Beautiful Bill Act (OBBBA) brings significant updates to 529 college savings plans—expanding the types of expenses that now qualify for tax-free withdrawals. Overview of 529 Plans A 529 plan is a tax-advantaged savings account designed to help families save for education. Contributions grow tax-free, and withdrawals are also tax-free when used for…
Starting in 2026, the One Big Beautiful Bill Act (OBBBA) increases the threshold for when businesses must issue Form 1099 for payments to non-employees. Form 1099 is used to report payments made in the course of a trade or business to individuals or unincorporated entities who are not employees—such as freelancers, independent contractors, and service…
The One Big Beautiful Bill Act (OBBA), signed into law on July 4, 2025, introduces significant changes to the tax code for families with children. Below is a summary of the key updates affecting the Child Tax Credit, new federal savings accounts for children, and the Other Dependent Credit. Child Tax Credit Previously: The Child…
The One Big Beautiful Bill Act (OBBA), signed into law on July 4, 2025, changes how gambling losses are treated for tax purposes. Starting with the 2026 tax year, taxpayers can no longer deduct the full amount of their gambling losses, even if they had enough winnings to cover them. Before this change, the rule…
The One Big Beautiful Bill Act (OBBA), signed into law on July 4, 2025, permanently eliminates miscellaneous itemized deductions from the federal tax code. These deductions, once available to taxpayers who itemized on Schedule A, are no longer allowed under any circumstances starting with the 2025 tax year. What Was Previously Included Before 2018, taxpayers…
On July 4, 2025, the federal government passed the One Big Beautiful Bill (OBBB)—a sweeping legislative package that reshapes tax policy for individuals and businesses alike. We’ve reviewed the bill in detail and want to highlight important changes that could affect your financial planning. Bonus Deprecation The One Big Beautiful Bill (OBBB) permanently restored 100% bonus…
The Washington Legislature enacted a broad tax reform package in May 2025. The following provisions are relevant to service providers and businesses: Sales Tax Expansion: Retail sales and use tax now applies to a broader range of services, including IT, digital, and staffing services. Businesses offering these services must begin collecting and remitting sales tax…
In May 2025, Governor Bob Ferguson enacted a package of tax legislation that includes substantial revisions to the state’s Business and Occupation (B&O) tax. The new legislation introduces higher rates, new surcharges, and clarified deductions, thereby impacting a broad spectrum of businesses operating within the state. B&O Tax Rate Increases Service and Other Activities: Effective…
Washington residents who work for an Oregon employer may allocate their wages for days worked in and out of Oregon. Income tax is due to Oregon only for days worked in the state. Due to Covid-19, more people than ever are working from home. This may be a good opportunity to reduce your Oregon income…
