The One Big Beautiful Bill Act (OBBBA) made a number of favorable changes for small businesses and their owners. State income tax rules don’t necessarily allow for all of the same tax breaks. For example, California has decoupled from most of OBBBA changes, so that most of the favorable federal changes won’t apply for state income tax purposes. And Colorado requires owners to add back their federal qualified business income (QBI) deduction (recent Colorado legislation makes this rule permanent). Check for conformity (state law following federal law) in your state. #IdeaoftheDay
Barbara Weltman
Big Ideas for Small Business, Inc.
Subscribe and download for Free our newly-updated eBook, "150+ Tax Deductions for Small Business A to Z" Revised to reflect changes in the One Big Beautiful Bill
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