Essential Provisions of the One Big Beautiful Bill Act (Course Id 2741)

• Who is this course for?
  This course is for CPAs, IRS Enrolled Agents, and other accounting professionals who need Continuing Professional Education (CPE) and are looking to deepen their understanding of recent and extensive changes to the U.S. tax code introduced by the One Big Beautiful Bill Act and its intersection with the Tax Cuts and Jobs Act.

• What is this course about or what problem does this course solve?
  This course provides a detailed examination of the tax-related provisions under Title VII of the One Big Beautiful Bill Act and explains how these provisions modify and expand upon existing U.S. tax law, helping professionals stay current with complex tax code updates.

• How can the knowledge from this course be used?
  The knowledge from this course can be used by tax professionals to accurately apply updated tax rules in areas such as individual and business taxation, international tax reforms, and tax credits, ensuring compliance and strategic tax planning for their clients.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  This course is important because it enables tax professionals to remain compliant with IRS standards while gaining crucial insights into sweeping tax law changes that impact middle-class relief, business competitiveness, and energy policy, all of which affect tax preparation and advisory services.

• When is this course relevant or timely?
  This course is especially timely as it addresses a newly released and significant tax reform law from 2025, providing up-to-date knowledge essential for navigating the evolving U.S. tax landscape.

• How is a course like this consumed or used?
  This course is delivered through QAS self-study format and is completed independently by reading the 102-page course material and passing a 65-question final exam with a score of 70% or higher to earn 13 CPE and IRS credits.

The One Big Beautiful Bill Act, also known as the OBBBA, is a diverse and far-reaching bill that changed many aspects of the tax code. Since the OBBBA and the Tax Cuts and Jobs Act now work together as the foundation for the US tax code, this course will cover both bills and how they work together and intersect. The OBBBA is an extremely large bill, so for the purposes of this course, we will only go over the material that relates to the tax code. This material is found under Title VII of the OBBBA, labeled “Finance.” The Tax Cuts and Jobs Act is organized into four primary sections of: Individual Tax Reform, Business Tax Reform, Exempt Organizations and International provisions. This course will provide a thorough review of all portions of the OBBBA and explain how this bill changes the wider tax landscape through its individual provisions. 

NASBA QAS - Text - NASBA Registry - IRS Enrolled Agents - 2741

Course Learning Objectives

• Review Chapter 1 of the OBBBA, “Providing Permanent Tax Relief for Middle-Class Families and Workers,” and identify how the new provisions introduced in this chapter alter the current US tax code;
• Review Chapter 2 of the OBBBA, “Delivering on Presidential Priorities to Provide New Middle-Class Tax Relief,” and identify how the new provisions introduced in this chapter alter the current US tax code;
• Review Chapter 3 of the OBBBA, “Establishing Certainty and Competitiveness for American Job Creators,” and identify how the new provisions introduced in this chapter alter the current US tax code;
• Review Chapter 4 of the OBBBA, “Investing in American Families, Communities, and Small Businesses,” and identify how the new provisions introduced in this chapter alter the current US tax code;
• Review Chapter 5 of the OBBBA, “Ending Green New Deal Spending, Promoting America-First Energy, and Other Reforms,” and identify how the new provisions introduced in this chapter alter the current US tax code;
• Review Chapter 6 of the OBBBA, “Enhancing deduction and Income Tax Credit Guardrails, and Other Reforms,” and identify how the new provisions introduced in this chapter alter the current US tax code.

Chapter 1 - Essential Provisions of the One Big Beautiful Bill Act

Course Learning Objectives

Introduction

Part 1 – Overview of the One Big Beautiful Bill Act

Title VII – FINANCE

SUBTITLE A: Tax

Chapter 1 – Providing Permanent Tax Relief for Middle-Class Families and Workers

Sec. 70101 – Extension of Modification of Rates

Sec. 70102 – Extension and Enhancement of Increased Standard Deduction

Sec. 70103 – Termination of Deduction for Personal Exemptions Other Than Temporary Senior Deduction

Sec. 70104 – Extension and Enhancement of Increased Child Tax Credit

Sec. 70105 – Extension and Enhancement of Qualified Business Income

Sec. 70106 – Extension and Enhancement of Increased Estate and Gift Tax Exemption Amounts

Sec. 70107 – Extension of Increased Alternative Minimum Tax Exemption Amounts and Modification of Phase-out Thresholds

Sec. 70108 – Extension and Modification of Limitation on Deduction for Qualified Residence Interest

Sec. 70109 – Extension and Modification of Limitation on Casualty Loss Deduction

Sec. 70110 – Termination of Miscellaneous Itemized Deductions Other Than Educator Expenses

Sec. 70111 – Limitation on Tax Benefit of Itemized Deductions

Sec. 70112 – Extension and Modification of Qualified Transportation Fringe Benefits

Sec. 70113 – Extension and Modification of Limitation on Deduction and Exclusion for Moving Expenses

Sec. 70114 – Extension and Modification of Limitation on Wagering Losses

Sec. 70115 – Extension and Modification of Increased Limitation on Contributions to ABLE Accounts

Sec. 70116 – Extension and Enhancement of Savers Credit Allowed for ABLE Contributions

Sec. 70117 – Extension of Rollovers from Qualified Tuition Programs to ABLE Accounts Permitted

Sec. 70118 – Extension of Treatment of Certain Individuals Performing Services in the Sinai Peninsula and Enhancement to Include Additional Areas

Sec. 70119 – Extension and Modification of Exclusion from Gross Income of Student Loans Discharged on Account of Death or Disability

Sec. 70120 – Limitation on Individual Deductions for Certain State and Local Taxes, Etc.

Chapter 2 – Delivering on Presidential Priorities to Provide New Middle-Class Tax Relief

Sec. 70201 – No Tax on Tips

Sec. 70202 – No Tax on Overtime

Sec. 70203 – No Tax on Car Loan Interest

Sec. 70204 – Trump Accounts and Contribution Pilot Program

Part 1 Review Questions

Chapter 3 – Establishing Certainty and Competitiveness for American Job Creators

Subchapter A – Permanent U.S. Business Tax Reform and Boosting Domestic Investment

Sec. 70301 – Full expensing for Certain Business Property

Sec. 70302 – Full Expensing of Domestic Research and Experimental Procedures

Sec. 70303 – Modification of Limitation on Business Interest

Sec. 70304 – Extension and Enhancement of Paid Family and Medical Leave Credit

Sec. 70305 – Exceptions from Limitations on Deductions for Business Meals

Sec. 70306 – Increased Dollar Limitations for Expensing of Certain Depreciable Business Assets

Sec. 70307 – Special Depreciation Allowance for Qualified Production Property

Sec. 70308 – Enhancement of Advanced Manufacturing Investment Credit

Sec. 70309 – Spaceports are Treated Like Airports Under Exempt Facility Bond Rules

Subtitle B – Permanent America-first International Tax Reforms

Part I – Foreign Tax Credit

Sec. 70311 – Modifications Related to Foreign Tax Credit Limitation

Sec. 70312 – Modifications to Determination of Deemed Paid Credit for Taxes Properly Attributed to Tested Income

Sec. 70313 – Sourcing Certain Income from the Sale of Inventory Produced in the United States

Part II – Foreign-Derived Deduction Eligible Income and Net CFC Tested Income

Sec. 70321 – Modification of Deduction for Foreign-Derived Deduction Eligible Income and Net CFC Tested Income

Sec. 70322 – Determination of Deduction Eligible Income

Sec. 70323 – Rules Related to Deemed Intangible Income

Part III – Base Erosion Minimum Tax

Sec. 70331 – Extension and Modification of Base Erosion Minimum Tax Amount

Part IV – Business Interest Limitation

Sec. 70341 – Coordination of Business Interest Limitation with Interest Capitalization Provisions

Sec. 70342 – Definition of Adjusted Taxable Income for Business Interest Limitation

Part V – Other International Tax Reforms

Sec. 70351 – Permanent Extension of Look-Thru Rule for Related Controlled Foreign Corporations

Sec. 70352 – Repeal of Election for 1-Month Deferral in Determination of Taxable Year of Specified Foreign Corporations

Sec. 70353 – Restoration of Limitation on Downward Attribution of Stock Ownership in Applying Constructive Ownership Rules.

Sec. 70354 – Modifications to Pro Rata Share Rules

Chapter 4 – Investing in American Families, Communities, and Small Businesses

Subchapter A – Permanent Investments in Families and Children

Sec. 70401 – Enhancement of Employer-Provided Child Care Credit

Sec. 70402 – Enhancement of Adoption Credit

Sec. 70403 – Recognizing Indian Tribal Governments for Purposes of Determining Whether a Child Has Special Needs for Purposes of the Adoption Credit

Sec. 70404 – Enhancement of the Dependent Care Assistance Program

Sec. 70405 – Enhancement of Child and Dependent Care Tax Credit

Part 2 Review Questions

Subchapter B – Permanent Investments in Students and Reforms to Tax-exempt Institutions

Sec. 70411 – Tax Credit for Contributions of Individuals to Scholarship Granting Organizations

Sec. 70412 – Exclusion for Employer Payments of Student Loans

Sec. 70413 – Additional Expenses Treated as Qualified Higher Education Expenses for Purposes of 529 Accounts

Sec. 70414 – Certain Postsecondary Credentialing Expenses Treated as Qualified Higher Education Expenses for Purposes of 529 Accounts

Sec. 70415 – Modification of Excise Tax on Investment Income of Certain Private Colleges and Universities

Sec. 70416 – Expanding Application of Tax on Excess Compensation Within Tax-Exempt Organizations

Subchapter C – Permanent Renewal and Enhancement of Opportunity Zones

Sec. 70421 – Permanent Renewal and Enhancement of Opportunity Zones

Sec. 70422 – Permanent Enhancement of the Low-Income Housing Credit

Sec. 70423 – Permanent Extension of New Markets Tax Credit

Sec. 70424 – Permanent and Expanded Reinstatement of Partial Deduction for Charitable Contributions of Individuals Who do Not Elect to Itemize

Sec. 70425 – 0.5 Percent Floor on Deduction of Contributions Made by Individuals

Sec. 70426 – 1-Percent Floor on Deduction of Charitable Contributions Made by Corporations

Sec. 70427 – Permanent Increase in Limitation on Cover Over of Tax on Distilled Spirits

Sec. 70428 – Nonprofit Community Development Activities in Remote Native Villages

Sec. 70429 – Adjustment of Charitable Deduction for Certain Expenses in Support of Native Alaskan Subsistence Whaling

Sec. 70430 – Exception to Percentage of Completion Method of Accounting for Certain Residential Construction Contracts

Subchapter D – Permanent Investments in Small Business and Rural America

Sec. 70431 – Expansion of Qualified Small Business Stock Gain Exclusion

Sec. 70432 – Repeal of Revision to De Minimis Rules for Third Party Network Transactions

Sec. 70433 – Increase in Threshold for Requiring Information Reporting with Respect to Certain Payees

Sec. 70434 – Treatment of Certain Qualified Sound Recording Productions

Sec. 70435 – Exclusion of Interest on Loans Secured by Rural or Agricultural Real Property

Sec. 70436 – Reduction of Transfer and Manufacturing Taxes for Certain Devices

Sec. 70437 – Treatment of Capital Gains from the Sale of Certain Farmland Property

Sec. 70438 – Extension of Rules for Treatment of Certain Disaster-Related Personal Casualty Losses

Sec. 70439 – Restoration of Taxable REIT Subsidiary Asset Test

Part 3 Review Questions

Chapter 5 – Ending Green New Deal Spending, Promoting America-First Energy, and Other Reforms

Subchapter A – Termination of Green New Deal Subsidies

Sec. 70501 – Termination of Previously-Owned Clean Vehicle Credit

Sec. 70502 – Termination of Clean Vehicle Credit

Sec. 70503 – Termination of Qualified Commercial Clean Vehicles Credit

Sec. 70504 – Termination of Alternative Fuel Vehicle Refueling Property Credit

Sec. 70505 – Termination of Energy Efficient Home Improvement Credit

Sec. 70506 – Termination of Residential Clean Energy Credit

Sec. 70507 – Termination of Energy Efficient Commercial Buildings Deduction

Sec. 70508 – Termination of New Energy Efficient Home Credit

Sec. 70509 – Termination of Cost Recovery for Energy Property

Sec. 70510 – Modifications to Zero-Emission Nuclear Power Production Credit

Sec. 70511 – Termination of Clean Hydrogen Production Credit

Sec. 70512 – Termination and Restriction on Clean Energy Production Credit

Sec. 70513 – Termination and Restrictions on Clean Electricity Investment Credit

Sec. 70514 – Phase-Out and Restrictions on Advanced Manufacturing Production Credit

Sec. 70515 – Restriction on the Extension of Advanced Energy Project Credit Program

Subchapter B – Enhancement of America-First Energy Policy

Sec. 70521 – Extension and Modification of the Clean Fuel Production Credit

Sec. 70522 – Restrictions on Carbon Dioxide Sequestration Credit

Sec. 70523 – Intangible Drilling and Development Costs Taken Into Account for Purposes of Computing Adjusted Financial Statement Income

Sec. 70524 – Income from Hydrogen Storage, Carbon Capture, Advanced Nuclear, Hydropower, and Geothermal Energy Added to Qualifying Income of Certain Publicly Traded Partnerships

Sec. 70525 – Allow for Payments to Certain Individuals Who Dye Fuel

Subchapter C – Other Reforms

Sec. 70531 – Modifications to De Minimis Entry Privilege for Commercial Shipments

Chapter 6 – Enhancing deduction and Income Tax Credit Guardrails, and Other Reforms

Sec. 70601 – Modification and Extension of Limitation on Excess Business Losses of Noncorporate Taxpayers

Sec. 70602 – Treatment of Payments from Partnerships to Partners for Property or Services

Sec. 70603 -Excessive Employee Remuneration from Controlled Group Members and Allocation of Deduction

Sec. 70604 – Excise Tax on Certain Remittance Transfers

Sec. 70605 – Enforcement Provisions with Respect to COVID-Related Employee Retention Credits

Sec. 70606 – Social Security Number Requirement for American Opportunity and Lifetime Learning Credits.

Sec. 70607 – Task Force on the Replacement of Direct File

Part 4 Review Questions

Glossary