Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Investing

The Tax Bill’s Success Will Turn on Regulatory Implementation

by August 6, 2025
August 6, 2025
The Tax Bill’s Success Will Turn on Regulatory Implementation

Adam N. Michel

The One Big Beautiful Bill Act is now law, but the fight to restore fiscal discipline and support economic growth has only just begun. The next test will be how aggressively the administration follows through with regulatory implementation.

In a new Fox News op-ed, I detail how successful repeal of the Inflation Reduction Act’s green subsidies will depend on the Treasury’s next steps. President Trump’s July 7 executive order rightly directs the agency to clamp down on the biggest sources of waste: overly broad definitions of “beginning of construction,” subsidies to foreign-controlled firms, the abuse-prone 80/20 test for refurbished energy investments, and inflated appraisals of energy properties. If faithfully executed, changing these rules can finally shut off the spigot of taxpayer money to green subsidies and deliver the full fiscal savings promised in the bill.

But that’s just the beginning. There are many other tax provisions where regulatory details will determine the bill’s impact:

No tax on tips. Implementation will depend on defining “customarily tipped” occupations that are eligible for the tipped income exclusion and clarifying the treatment of additional service charges. Narrow rules could cap the revenue loss; broad interpretations will explode the cost.

Expensing for qualified production property. The Treasury must clarify what industries qualify as engaging in “substantial transformation” and how rules will govern mixed-use facilities. Broad inclusion will cement the economic benefits of this new provision.

Trump Accounts. Establish administrative rules for how accounts will be opened, accessed, and invested, including oversight for default investment options and account portability. Clarify whether the employer contribution cap (half of the $5,000 annual limit) is an annual or lifetime cap.

These are just a few of the hundreds of regulatory questions and transition rules the Treasury will need to address in implementing the One Big Beautiful Bill Act.

The Inflation Reduction Act shows how special interests can co-opt implementation, expanding access beyond congressional intent and exploding fiscal costs. Now, the Trump administration has the opportunity and the responsibility to do the opposite. By appropriately setting guardrails around eligibility and compliance, it can protect taxpayers, facilitate investment, and prevent another wave of expensive lobbyist-driven carve-outs.

The One Big Beautiful Bill’s success depends on how these rules are written and enforced. Congress did its part. Now, it’s up to the regulators to finish the job. 

0
FacebookTwitterGoogle +Pinterest
previous post
Anand Lalaji on Building Trust in Healthcare Leadership
next post
SCOOP: Trump admin, OpenAI partner to unleash artificial intelligence on federal government

You may also like

Shedding Light on the Incidence of Illegal Noncitizen...

May 23, 2024

Another FISA Legislative Implosion

April 10, 2024

The Fed’s Questionable CBDC Campaign

June 12, 2023

Domestic Benefits from Foreign Tax Havens

May 31, 2023

Senate Immigration Deal Is a Mixed Bag

February 6, 2024

Housing Subsidies Boost Costs

June 9, 2025

End All Taxpayer Funding of CPB, NPR, PBS

April 11, 2025

Yes, You’re Still Imagining a Migrant Crime Spree:...

October 22, 2024

Trump v. US: With Great Power Comes Great...

July 11, 2024

Plan for Immigrant Spouses of US Citizens Faces...

June 18, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Trump to announce $100bn Apple investment pledge to boost US manufacturing

      August 6, 2025
    • SCOOP: Trump admin, OpenAI partner to unleash artificial intelligence on federal government

      August 6, 2025
    • The Tax Bill’s Success Will Turn on Regulatory Implementation

      August 6, 2025
    • Why I Helped Organize the Department of Energy’s Climate Report

      August 6, 2025
    • Anand Lalaji on Building Trust in Healthcare Leadership

      August 6, 2025
    • Nine Examples of Waste in the New Markets Tax Credit Program

      August 6, 2025

    Categories

    • Business (8,690)
    • Investing (2,178)
    • Politics (16,319)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved