Connect

Register to Vote

We are officially less than
DAYS AWAY from the
election that could CHANGE OUR LIVES FOREVER.

This is the fight for FREEDOM, for LIBERTY, for our CONSTITUTION, and for our Nation's SAFETY


Voting & Sample Ballots
 

Want to Become a Member

Join the HCRC or renew membership

Renew Your Membership
Annual Dues Renewal
are due now. Renew
online by clicking the above link or complete form and pay and next meeting.

Donate Today

I am a Republican because ...

The HCRC provides a network for Republican Candidates, promotes political awareness, encourages participation in public affairs, and works for responsible and efficient government.

We love to hear from
our members, friends,
neighbors, potential
members and community
members.

Our board is always here to answer any questions you may have. Feel free to send us a direct email at admin@hillcountryrepublicanclub.org
 

The Texas GOP
Grass Roots Club

Elected Officials

Website Designed by
Jack Pratt

Trump's One Big Beautiful Bill

On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law, enacting a wide range of tax changes for individuals, families, seniors, and businesses. Below is a summary of the most important provisions that may impact your tax situation for 2025 and future years.

1. Individual Income Tax Changes ·       Permanent Lower Tax Rates: The reduced individual tax rates from the 2017 Tax Cuts and Jobs Act are now permanent, preventing a reversion to higher pre-2018 rates.

Increased Standard Deduction:

·       Personal Exemptions: The suspension of personal exemptions is made permanent, except for a new $6,000 deduction for seniors (age 65+), available through 2028 and phased out at higher incomes.

·       Child Tax Credit:  The expanded child tax credit is made permanent, increased to $2,200 per child, with inflation adjustments and stricter Social Security number requirements for both the taxpayer and child.

Qualified Business Income Deduction (Section 199A): The phase-in threshold is increased to $75,000 ($150,000 for joint filers), and a $400 minimum deduction is established for active business income, with inflation adjustments.

·       Estate and Gift Tax Exemption:  The exemption is permanently increased to $15 million (indexed for inflation), effective for estates and gifts after 2025.

The increased AMT exemption and phase out thresholds are made permanent, with modifications to inflation adjustments and phaseout rates.

Mortgage Interest Deduction:  The $750,000 cap on mortgage interest is made permanent, and mortgage insurance premiums are now treated as interest.

The cap on state and local tax (SALT) deductions is increased to $40,000 ($20,000 for married filing separately) for 2025, with inflation adjustments and a phase-down for high incomes, reverting to $10,000 after 2029.

2. New Deductions and Credits for Working Americans

No Tax on Tips:  For 2025–2028, up to $25,000 in qualified tips per year is deductible (phased out at higher incomes), with new reporting and anti-abuse rules.

For 2025–2028, up to $12,500 ($25,000 joint) in qualified overtime pay per year is deductible (phased out at higher incomes).

Car Loan Interest Deduction:  For 2025–2028, up to $10,000 per year of interest on loans for new U.S.-assembled passenger vehicles is deductible (phased out at higher incomes), with new reporting requirements.

"Trump Accounts" for Children:  New tax-advantaged accounts for children under 18, with a $5,000 annual contribution limit, employer and charitable contributions, and a $1,000 government-funded pilot for newborns (2025–2028).

3. Business and Investment Provisions

Full Expensing:  100% bonus depreciation for qualified business property is made permanent, with transitional options for reduced percentages in 2025.

Research and Development (R&D):  Domestic R&D expenses can be fully expensed immediately; foreign R&D remains amortized over 15 years.

·       Section 179 Expensing: The expensing limit is increased to $2.5 million, with a phaseout at $4 million and inflation adjustments.

·       Interest Deduction Limitation: The EBITDA add-back for the business interest limitation is restored permanently, increasing allowable business interest deductions.

·       International Tax Reforms: Modifications to the foreign tax credit, GILTI, FDII, and BEAT rules, including increased deductions and new sourcing rules for certain income.

4. Family, Community, and Education Incentives

·       Child and Dependent Care: The child and dependent care tax credit is enhanced, with a higher applicable percentage and increased income thresholds.

·       Adoption Credit: Up to $5,000 of the adoption credit is now refundable, with inflation adjustments.

·       529 Accounts: Expanded to cover more K-12 expenses and postsecondary credentialing, with higher annual limits.

·       Charitable Deductions: Above-the-line charitable deduction is increased to $1,000 ($2,000 joint) and made permanent. New floors for individual and corporate charitable deductions are introduced.

5. Energy and Green Tax Changes

·       Termination of Clean Energy Credits: Credits for new and used clean vehicles, alternative fuel property, and various energy-efficient improvements are terminated earlier than previously scheduled.

·       Restrictions on Foreign Entities: New limitations on energy credits and deductions for projects involving specified foreign entities or materials.

6. Other Notable Provisions

·       Excess Business Loss Limitation: The limitation on excess business losses for noncorporate taxpayers is made permanent, with updated thresholds.

·       Reporting Thresholds: The 1099-MISC/NEC reporting threshold is increased to $2,000 (indexed for inflation), and the de minimis threshold for third-party network transactions is restored to $20,000/200 transactions.

·       Unemployment Benefits: Federal funds are prohibited for unemployment compensation to individuals with $1 million or more in base period wages.

7. Health and Social Program Changes

·       Medicaid and Medicare: Various reforms to eligibility, enrollment, and cost-sharing, including new work requirements for Medicaid expansion adults and changes to eligibility for non-citizens.

·       Premium Tax Credit: Eligibility is restricted to certain lawfully present aliens, with new verification requirements and elimination of the limitation on recapture of excess advance payments.

The One Big Beautiful Bill Act brings significant and wide-ranging changes to the tax code, affecting individuals, families, seniors, businesses, and investors. Many of these provisions are effective for the 2025 tax year and beyond. We recommend reviewing your tax situation in light of these changes and considering potential planning opportunities. Please note that it will take time to fully understand the impact of some of these provisions as the OBBBA moves through the implementation and guidance stages with the Treasury and IRS.