Story perspectives

New Bill Promises Immediate Write-Offs, Boosts U.S. Investment

11/11/2025

Summary

Huntington Bancshares Invests

The One Big Beautiful Bill Act (OBBBA) would allow companies to write off investments in software, machinery, and other assets immediately, shaping 2026 spending.
The act aims to lower taxable income and spur U.S. investment, but could generate about $504 billion in tax losses over ten years.
Huntington Bancshares expects increased lending tied to capital expenditures because of the law.

Summary

OBBBA Tax Changes

The One Big Beautiful Bill Act (OBBBA) imposes significant tax changes effective from 2026.
It extends casualty loss deductions for disaster areas to include state-declared disasters.
It raises the Form 1099-NEC reporting threshold from $600 to $2,000, indexed for inflation.
States are adapting to OBBBA's provisions and some require new forms for exempt income while homeowners are urged to act quickly to benefit from energy tax credits ending after 2025.

History

Historical Context

The Economic Recovery Tax Act of 1981, signed by President Ronald Reagan on August 13, aimed to stimulate the economy through significant tax cuts totaling $750 billion over five years. This legislation reduced the top marginal tax rate from 70% to 50% and introduced indexing for inflation. However, it also contributed to rising budget deficits, prompting subsequent tax increases in the early 1980s.

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Huntington Bancshares Invests

The One Big Beautiful Bill Act (OBBBA) would allow companies to write off investments in software, machinery, and other assets immediately, shaping 2026 spending.
The act aims to lower taxable income and spur U.S. investment, but could generate about $504 billion in tax losses over ten years.
Huntington Bancshares expects increased lending tied to capital expenditures because of the law.

1 / 3