Tax laws are shifting in 2025—with changes affecting QBI, depreciation, and entity structures. We asked a local small business owner how they’re adapting—and here’s what helped.
1. Reassess Your Structure for QBI Optimizations
Changes to the Qualified Business Income deduction require careful planning. Whether you’re an LLC or S-corp, get advice via our Business Consulting.
2. Accelerate Deductions with Bonus Depreciation
2025 brings expanded bonus depreciation opportunities. Capture them efficiently using our Bookkeeping Services.
3. Leverage New Business Investment Rules
OBBBA (One Big Beautiful Bill Act) greatly expands the expensing allowances available to businesses, providing much more flexibility and the potential for substantial cost savings. These enhanced provisions allow companies to deduct a wider range of expenses, helping to improve cash flow and reduce taxable income. To ensure your business stays completely compliant with these new and more complex regulations while fully leveraging the updated benefits, we encourage you to explore our extensive Business Tax services. Our offerings are carefully tailored to help optimize your financial strategies, maximize your tax advantages, and support your long-term business growth and success.
4. Plan Mid-Year—Don’t Wait for December
Strategic mid-year tax planning is essential because it helps you adapt more quickly and efficiently to any changes in your financial situation or tax laws. Our team is dedicated to helping clients take proactive steps to optimize their tax outcomes through our comprehensive and expert Tax Preparation services, ensuring you stay ahead of the curve throughout the year.
5. Stay Ahead of IRS Representation Needs
Recent changes in tax laws have resulted in a substantial increase in IRS scrutiny and have introduced far more comprehensive and detailed oversight than taxpayers have experienced in the past. If you find yourself facing an audit or receiving inquiries from the IRS, our highly skilled and dedicated IRS Representation team is fully prepared to offer you steadfast and unwavering support throughout the entire examination process. We are committed to ensuring that your rights are carefully and thoroughly protected at every single stage, providing you with peace of mind and expert guidance from start to finish.
Frequently Asked Questions
What’s changed in 2025 for small businesses?
QBI thresholds, bonus depreciation levels, and deductions that vary depending on the specific business structure are all crucial and important factors to carefully consider. Thoughtful and strategic planning is absolutely essential in order to navigate these complexities effectively and to maximize the potential tax benefits available. Taking the necessary time to thoroughly understand and actively manage these various elements can have a significant and meaningful impact on overall financial outcomes and long-term business success.
How do I maximize bonus depreciation?
Work in a thoroughly systematic and consistently reliable manner alongside a trusted and highly experienced tax advisor. Ensure that every single step you take is backed by comprehensive and proper documentation, paired with carefully planned timing. This approach is specifically designed to maximize and optimize your overall financial outcomes and long-term benefits, providing you with the greatest possible advantage.
Should I revisit entity type mid-year?
Yes. Small businesses can gain substantial and meaningful advantages by obtaining S-corp status or pursuing reclassification, especially considering the recent significant changes in laws and regulations. These updated and newly implemented rules provide additional valuable opportunities for tax savings and enhanced financial flexibility, which can prove to be highly beneficial and advantageous for small business owners. Given these considerable potential benefits, it is definitely worth the time, effort, and careful consideration for small business owners to thoroughly explore and evaluate this option as an important part of their overall long-term business strategy.
Need Help Navigating 2025 Tax Changes?
Henriquez Accounting & Tax Services offers proactive bookkeeping, tax prep, business consulting, and IRS representation to help you adapt—and thrive. Schedule Consultation
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