Keeping Up With the One Big Beautiful Bill Tax Law Changes for 2025

The One Big Beautiful Bill (OBBB), passed into law on July 4, 2025, enacted some of the most sweeping changes to federal income tax law since the 2017 Tax Cuts and Jobs Act (TCJA). With everything moving so fast, tax professionals are challenged to keep up with the changes and prepare correct, compliant 2025 returns.

Fortunately, the IRS has a number of resources and processes in place to help tax professionals and taxpayers stay informed. To do that, it’s helpful to know how the IRS communicates changes to tax law that affect tax preparers and their clients.

Proposed Changes and Public Comment

In the early stages of implementing proposed regulations, forms, and other guidance, the IRS often provides an opportunity for individuals to read and comment on draft regulations. This process is intended to minimize disruption, gauge public reaction, and even make changes to a proposal based on public feedback.

For example, in response to public feedback, the IRS initially delayed the implementation of the $600 Form 1099-K reporting threshold for third-party settlement organizations (TPSOs) and adopted a phased approach. For the 2024 tax year, TPSOs were required to report transactions exceeding $5,000, with plans to lower the threshold in subsequent years. This change aimed to reduce confusion and provide taxpayers, tax professionals, and TPSOs more time to adjust to reporting requirements. (Note that the OBBB restored the previous reporting threshold of $20,000 and 200 transactions for 2025 and beyond.)

The deadline and links for commenting are often shown on the IRS site. Regulations.gov and FederalRegister.gov also list proposed IRS regulations for comments.

IRS Transitional Guidance

As tax regulations change through legislation or executive orders, the IRS provides transitional guidance. Transitional guidance is a form of temporary relief or instructions that help taxpayers and businesses comply with new tax laws during the initial implementation period. This is especially common when legislation introduces new reporting requirements or deductions that require operational changes. For example, under the OBBB, the IRS issued Notice 2025-57 to provide transitional guidance for lenders reporting interest on passenger vehicle loans.

Support for Tax Professionals

Whether you are a tax professional or just trying to understand how OBBB affects your return for 2025 and beyond, there are several places to turn for help:

• The IRS OBBB page provides a comprehensive summary of new and revised tax regulations under the OBBB.
• Subscribe to the IRS Newswire and other e-News Subscriptions to receive regular updates on OBBB implementation and other tax news.
• The IRS Practitioner Priority Service allows tax professionals to call 1-866-860-4259 for direct support. (PPS is available to all tax professionals with valid third-party authorizations, i.e., Forms 2848, 8821 and/or 8655.)
• Regulations.gov allows you to review and submit comments on proposed regulations, including new provisions like the “no tax on tips” rule.
• Sign up for a Latino Tax Pro VIP Membership, which includes access to Ask a Tax Pro for unlimited answers to your Form 1040 questions and many other benefits.

Visit the Latino Tax Professionals website for more updates on the tax law changes you need to know about, as well as ideas on the tax preparation business, taking your career to the next level, and making the most of new opportunities.