Wright Ford Young & Co.

With changes in the One Big Beautiful Bill Act ranging from mere extensions of current law to new directions altogether, it’s easy to overlook the somewhere-in-the-middle changes to the income tax deductions for charitable contributions.

Here are some of the notable changes made by the OBBBA.

New OBBBA Charitable Deduction Rules Bring Floors and Limits The One Big Beautiful Bill Act introduces floors, ordering rules and cutbacks that reshape charitable giving strategies

What an amazing and FUN event for our slide unveiling at Olive Crest - USA! We're glad we are able to make this dream come true for this wonderful organization.

Olive Crest is an organization dedicated to preventing child abuse by strengthening, equipping, and restoring children and families in crisis.

Learn more about Olive Crest: https://www.olivecrest.org/

Legal settlement agreements involve tax issues, and plaintiffs usually need help navigating settlement tax rules. Defendants understandably want to deduct whatever they have to pay.

The tax law says that contingent legal fees in lawsuit settlements are also taxed to plaintiffs, not just the net amount they receive after legal fees and costs. They need to consider the legal fees too. No plaintiff wants to pay taxes on their attorney fees.

Legal Settlements Without Tax Language Increase Your Taxes Legal settlement agreements should have tax language to support the plaintiff later at tax return time. Otherwise, the IRS may be in control of the taxes.

Within the United States tax code, the treatment of research and development (R&D) expenditures shapes where, how, and whether American companies choose to innovate and invest.

Under Section 174A, taxpayers can choose either to immediately deduct domestic R&D or to amortize it over a period of at least 60 months. While the former is superior to the latter in most cases, a taxpayer might elect amortization to smooth the deduction into future years if they are effectively unable to use the full value of expensing immediately (e.g., because they have a net operating loss).

By contrast, foreign R&D gets no such option. Under Section 174, it must be capitalized and amortized over 15 years, with no ability to expense R&D immediately.

However, two drawbacks are worth serious consideration. First, reduced R&D investment abroad may diminish US production and investment rather than increase it. And second, a less competitive global regime for US-resident companies may discourage US tax residence at the margin.

The Hidden Costs of Foreign R&D Amortization Penalizing foreign research and development is a non-neutral policy that weakens US firms and diminishes production and investment.

We're proud to share that Byron Culp, Director of Business Development at WFY, has been featured in Orange County Business Journal's People on the Move for WISEPlace.

Byron's commitment to serving our community reflects the values we strive to uphold both inside and outside the office. Congratulations, Byron, on this well-deserved recognition and for your dedication to supporting WISEPlace and its mission to empower individuals experiencing homelessness on their journey to permanent housing.

Read Byron's feature in People on the Move and join us in congratulating him on this achievement: https://www.ocbj.com/advertorials/on-the-move/wiseplace-recognizes-leaders-of-change/?utm_source=facebook&utm_medium=social&utm_content=ap_mxv8arc91m

Proactive succession planning helps reduce tax exposure, preserve business value, and ensure continuity for future leadership.

Are you prepared for the next generation of leadership?

Note: Everyone’s financial situation is different. Contact a WFY advisor to discuss your financial plan.

Successful businesses don’t wait until tax season to ask important financial questions. Throughout the year, business owners face decisions that can impact taxes, cash flow, growth, and long-term success.

To help, we’ve asked our CPAs to answer 10 of the most common tax, accounting, and audit questions business owners are asking in 2026.

https://cpa-wfy.com/ask-a-cpa-10-tax-accounting-audit-questions-every-business-owner-and-high-net-worth-individual-should-ask-in-2026/

Ask a CPA: 10 Tax, Accounting & Audit Questions Every Business Owner and High-Net-Worth Individual Should Ask in 2026 ...we've asked our CPAs to answer 10 of the most common tax, accounting, and audit questions business owners are asking in 2026. Whether...

With new electric vehicle prices averaging nearly $55,000 and the federal government no longer offering $7,500 in tax credits for plug-in vehicles, 13 major automakers are confirming plans to participate in California's new $3,500 instant rebate program for new EV buyers in the state.

https://www.usatoday.com/story/cars/shopping/evs/2026/07/17/cars-eligible-myfirstev-incentive-tax-rebate-program-california/90954585007/

Here's 13 brands you can save $3,500 on new EVs from in California With new EV prices averaging nearly $55,000, 13 major automakers plan to participate in California's new $3,500 instant rebate program.

When one company receives a Superfund excise tax refund, another business in the supply chain may face unexpected tax consequences. Understanding how these refunds are treated—and who ultimately bears the tax impact—is critical for manufacturers, importers, and businesses dealing with taxable chemicals.

One Company’s Superfund Refund Can Become Another’s Tax Problem The Superfund taxable-substance list has grown 42% since 2022, creating new compliance risks for importers that treated reinstatement as a one-time review.

There has been an uptick in the number of tax liens filed by the Internal Revenue Service in recent years, exposing more people who owe a federal tax debt to potential job loss, the inability to secure loans and other downstream financial impacts.

IRS tax liens can be a 'kiss of death,' consumer advocate says — and they're on the rise Federal tax liens filed by the Internal Revenue Service can impact people's employment and their ability to access credit.