Insights & Updates

New Auto Loan Interest Deduction Plus Other Major OBBBA Tax Changes: What You Need to Know for 2025

If you’ve been thinking about buying a new car or live in a high-tax state, there’s major tax relief coming your way through the One Big Beautiful Bill Act. This comprehensive law creates new deductions for auto loan interest, increases standard deduction amounts, and temporarily raises the state and local tax (SALT) deduction cap from $10,000 to $40,000—but these benefits won’t last forever.

Choosing Direct Deposit for Income Tax Refunds Is Faster, Safer, and Soon Compulsory

When it comes to filing your taxes, electronic is faster, safer, and—very soon—the norm. Under a federal modernization directive, the government is phasing out most paper checks for federal disbursements effective September 30, 2025. That means whether you’re sending a payment or receiving a refund, electronic options aren’t just convenient anymore—they’ll be the default.

Health Insurance Reporting on W-2 Forms

For shareholders of 1120S corporations, it is crucial to ensure that your health insurance premiums are reported correctly on your W-2 forms. This step is essential to comply with IRS requirements and to accurately reflect your compensation.

Action Required:  Please verify that your health insurance premiums are being properly included in your payroll system.

Ensure this information is provided to your payroll service so it can be reported on your W-2.

If you have any questions or need assistance with this process, feel free to reach out to us or your payroll provider. 

Fall Is a Great Time To Do Tax Planning!

Tax planning isn't just about the current year – it's about positioning yourself strategically for the years ahead. The OBBBA provided more stability than change for 2026 and should be considered alongside your overall financial strategy, business goals, and family planning needs. At N&Co, we believe in getting ahead of tax changes rather than reacting to them. We're here to help you navigate these changes strategically.

Contact your accountant or our office at 614-891-5423 to discuss how these changes might impact your specific situation and ensure you're positioned to take full advantage of what's ahead. Let us make your tax planning a little #LessTaxing.

To learn more about how we can help you, please visit our website.

Ampersand header image courtesy of John Weber