How President Trump’s “Big Beautiful Bill” Could Impact Small Business Taxes and Accounting
I apologize in advance, this post is longer than 2 minutes… BUT this is very relevant and important for small business owners. TL;DR at the end.
As of mid-2025, President Donald J. Trump is pushing forward a sweeping legislative initiative known as the “Big Beautiful Bill,” aimed at overhauling the U.S. tax system and rolling back a range of business regulations. Though the bill is still moving through the early stages of the legislative process, it has already stirred major interest — and some concern — among small business owners and tax professionals.
What Is the “Big Beautiful Bill”?
The “Big Beautiful Bill” is President Trump’s flagship economic package in his current term. It promises to build upon and expand the Tax Cuts and Jobs Act (TCJA) of 2017 by cutting taxes further, simplifying business compliance, and encouraging domestic investment. While the full legislative text was recently introduced in the House of Representatives, it has yet to pass either chamber of Congress.
Key components under discussion include:
Further reductions in corporate and pass-through business tax rates
Expanded bonus depreciation and asset expensing provisions
Streamlined deductions for small businesses
Payroll tax relief
Loosening of federal compliance and reporting rules
The bill is currently under review in the House Ways and Means Committee, with debates ongoing. Analysts expect significant amendments before any version reaches a floor vote.
What Small Business Owners Need to Know
Though the bill is not yet law, small business owners should pay close attention to how its provisions may impact their accounting strategies and tax obligations — especially for the 2025 and 2026 tax years.
1. Reduced Tax Rates for Pass-Through Entities
If passed, the bill would lower the tax rate for income earned by pass-through entities (e.g., LLCs, sole proprietors, S corporations). The current 20% qualified business income (QBI) deduction under Section 199A may be replaced or enhanced.
Impact: Potential for significantly lower effective tax rates, especially for service-based businesses — but also possible new phase-out thresholds and filing rules.
2. Increased Bonus Depreciation
The bill seeks to reinstate and expand 100% bonus depreciation for capital investments, retroactive to January 1, 2025.
Impact: Businesses could immediately expense new equipment, technology, or property upgrades — potentially lowering taxable income dramatically.
3. Simplified Deductions and Filing
A push for standard business deductions could simplify filing but might also eliminate or cap itemized deductions for certain industries or expenses.
Impact: Easier compliance for smaller operations, but niche businesses may lose out on key deductions (e.g., home office, vehicle expenses).
4. Payroll Tax Reductions
Trump has advocated for temporary payroll tax cuts or holidays as part of the bill to boost take-home pay and reduce hiring costs.
Impact: Short-term cash flow boost for employers and employees, but businesses will need to watch for changes in withholding rules and IRS guidance.
5. Regulatory Rollbacks
The bill includes language aimed at easing compliance with certain IRS, OSHA, and DOL regulations for businesses under 50 employees.
Impact: Reduced administrative burden, but state-level regulations may still apply and require coordination.
Current Status of the Bill
As of June 2025:
The bill has been introduced in the House and is under committee review.
Key business lobby groups and trade associations are lobbying for adjustments.
Senate Republicans have shown strong support, but passage may hinge on negotiations with moderate House members and budget scorekeepers at the Congressional Budget Office (CBO).
A final vote is unlikely before Q3 2025, and implementation of tax provisions would likely be retroactive to January 1, 2025, or take effect on January 1, 2026. This part is unknown for sure as of the writing of this blog post.
What You Should Do Now
Meet with an accountant, CPA, or tax advisor now to model potential scenarios under the new bill’s structure.
Delay or accelerate major business purchases depending on how depreciation rules may change.
Watch for IRS guidance — if the bill passes, transitional rules and compliance updates will follow quickly.
Bottom Line:
While the “Big Beautiful Bill” is not yet law, it’s on track to become a major piece of President Trump’s second-term legacy. For small business owners, preparing early could make the difference between missed opportunities and strategic gains.
TL;DR:
Summary of possible small business impacts if the Big Beautiful Bill is passed into law:
Key Takeaways:
The bill aims to put more cash back into the hands of small businesses through lower taxes and immediate expensing.
Simplified deductions and filing could save time and reduce accounting costs.
However, specific industries (like real estate, professional services, and independent contractors) should watch for deduction limitations or eligibility rules.
The Accountant Shortage Is Real—Should You Be Worried?
(Spoiler: Maybe a little.)
So here’s a fun headline you probably missed:
📉 Accounting is in a hiring crisis.
Wait… accounting? Like… spreadsheets and calculators? Yep. The very people who keep your business legal, organized, and IRS-proof are getting harder to find—and fast.
🧮 What’s Going On?
There’s a big ol’ talent gap happening right now:
The number of accounting grads has dropped by 17%
CPAs are retiring faster than new ones are entering
The work? Still piling up
And unfortunately, this isn’t just our problem—it’s yours, too.
⚠️ What This Means for Small Business Owners
If you:
Wait until April to find a tax pro…
Expect year-round support from a “once-a-year” guy…
Think AI is about to replace your accountant…
You’re playing a dangerous game with your bottom line.
Fewer professionals = longer wait times, higher prices, and more people getting ghosted during tax season.
👀 But Don’t Panic—Here’s What to Do:
✅ Find your person early
If you have a great accountant (hi 👋), stick with them. If you don’t, get on someone’s radar before things get busy.
✅ Think long-term, not just tax-time
A good accountant helps you all year—not just when the IRS comes knocking. Budgeting, cash flow, strategy? That’s the real magic.
✅ Don’t DIY your way into disaster
Sure, ChatGPT and TurboTax can answer questions. But neither can help you explain a messed-up S-corp distribution to an auditor.
💬 TL;DR?
The shortage is real. The stakes are high.
But you don’t have to figure it out alone.
I’m Jessica—spreadsheet whisperer, IRS interpreter, and chaos-stopper at Kardinal Business Solutions. If you want someone in your corner before tax season gets wild, now’s the time to reach out.
👉 Let’s talk—before everyone else does.
Tariffs, Price Hikes & “What Now?”—What Business Owners Need to Know (Without a Panic Attack)
You didn’t start a business to track global trade policies.
But guess what? Global trade policies are tracking you.
💥 What’s Happening?
The U.S. has announced increased tariffs on certain Chinese goods, including steel, aluminum, semiconductors, solar panels, EV batteries, and more. Sound niche? It’s not.
📊 Here’s the reality:
Tariffs on electric vehicles are rising from 25% to 100%
Solar cells: 25% to 50%
Steel & aluminum: 0–7.5% to 25%
And these costs don’t stay on cargo ships. They hit your supply chain, your vendors, your invoices—and yes, your bottom line.
🔁 So, What Does That Mean for You?
Even if you’re not importing anything directly, these tariff hikes are like throwing a wrench in a giant machine—and you’re somewhere down the line catching the fallout.
💸 Increased material costs – Your suppliers are paying more, and they’re not eating it.
🛑 Delayed timelines – Supply chain slowdowns = missed deadlines.
📉 Tighter margins – You may not feel it right away, but your profit is quietly shrinking.
😖 And Here's the Kicker...
Most small business owners won’t notice the damage until it shows up in their cash flow—or worse, their tax return.
Let’s not do that.
✅ What You Can Do (That Doesn’t Involve an Economics Degree)
Audit your cost structure. Know what’s actually costing you more.
Re-evaluate vendors and contracts. Can you renegotiate? Source locally?
Adjust pricing—smartly. Don’t eat the cost out of loyalty. Communicate with your customers.
Budget for volatility. Because this isn’t the last surprise the global economy has in store.
👋 Need Help Seeing the Big Picture?
This is where I come in.
As your accounting sidekick, I track the financial ripple effects—so you don’t have to. Whether you need help understanding what these changes mean, or want help adjusting your budget, I’ve got you.
📬 [Let’s talk] – No pressure, just clarity.
You Didn’t Start a Business to Play with Numbers—But I Did.
Why hiring someone who actually enjoys this stuff might be your next power move
Let’s cut to it: You didn’t launch your business to spend your Saturdays drowning in receipts, untangling payroll reports, or asking yourself, “Wait… what even is a chart of accounts?”
But someone’s gotta handle the financial chaos—and spoiler alert: that someone doesn’t have to be you.
Hi. I’m Jessica. And I genuinely like this stuff.
I’m the small business sidekick you didn’t know you needed—part numbers nerd, part problem-solver, full-on chaos-tamer. At Kardinal Business Solutions, I help entrepreneurs clean up their books, tighten up their strategy, and stop pretending they know what a 1099-NEC is.
🙃 DIY Ain’t It
Look, we’ve all been there:
You meant to keep up with your bookkeeping… and then life happened.
You opened QuickBooks once, got a headache, and closed it immediately.
You're not totally sure if you’re paying yourself right—or legally.
If you’ve ever considered setting your spreadsheets on fire, I see you.
💁♀️ What You Actually Need
Numbers that make sense (and don’t make you sweat)
Someone who speaks fluent IRS without making it weird
A system that keeps your business legit and profitable
I’m not here to judge your bank feed. I’m here to fix it.
🧠 Here’s the Thing…
Clean books aren’t just for tax season flexes. They’re your secret weapon. When you’ve got financial clarity, you stop winging it and start winning at it.
Suddenly you’re making decisions like a boss instead of just surviving one deposit at a time.
🚀 Let’s Get Your Biz Together
If you’re ready to stop sorting receipts by “vibes” and actually know where your money’s going, let’s chat. No jargon. No shame. Just straight talk, smarter systems, and a little Kardinal magic.
👉 Click here to reach out and let’s un-mess your mess.