The recently passed One Big Beautiful Bill Act (“OB3” Bill) introduces significant changes to personal income tax rules, many of which impact deductions, charitable giving, and year-end planning. In Episode 22 of the S.R. Snodgrass Podcast, Senior Tax Manager Bill Hall joins host Lenore Seifer to walk through what individuals need to know as tax season approaches.
While the bill is now law, much of the fine print is still awaiting IRS guidance. Bill shares what we know so far and what taxpayers should prepare for in the months ahead.
Key Highlights From the Episode
Expanded SALT Deduction
The state and local tax (SALT) deduction has increased from $10,000 to $40,000 through 2028, offering substantial benefits especially for those with higher property taxes. However, the deduction begins phasing out at $500,000 AGI.
Charitable Contribution Changes
Different types of charitable gifts now have varying deduction limits, and new restrictions take effect in 2026, making 2025 an important year for planning. Documentation requirements for cash, non-cash, and high-value donations are stricter than ever.
Qualified Charitable Distributions (QCDs)
Taxpayers age 70½ or older can donate up to $108,000 of IRA distributions directly to charity, counting toward their RMD without increasing taxable income.
Standard Deduction Boosts
For 2025, the standard deduction rises to $31,500 for married filing jointly, with an additional $6,000 per person for individuals over 65.
IRS Delays & Electronic Payments
Because the IRS has not yet released full guidance, some tax returns may require additional time before filing. As of September 30, all tax payments and refunds must now be made electronically, eliminating paper checks.
Why This Matters for Individuals
The OB3 Bill presents both opportunities and complexities. Taxpayers will need to revisit their approach to deductions, charitable giving, and documentation and may benefit from accelerated planning in 2025 before several new limitations take effect in 2026.
Working closely with a tax professional is essential, especially as the IRS continues to clarify the law.
Watch the Full Conversation on YouTube
To hear Bill Hall break down these updates in clear, practical terms and to understand how the OB3 Bill affects your personal tax strategy.
👉 Watch the full podcast episode on YouTube.
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