Recent changes to federal tax law were the subject of a Small Business University webinar hosted by the Fresno Chamber of Commerce on September 10. The session focused on how business owners can benefit from the One Big Beautiful Bill (OBBB), which was signed into law on July 4, 2025.
CPA Shelton Autry of Bean Hunt Harris & Company led the discussion, explaining updates to bonus depreciation, Section 179, and a new deduction for qualified production property. These provisions are intended to help businesses reduce costs and encourage investment.
According to Autry, “The OBBB brings back 100% bonus depreciation, a tax incentive that allows businesses to immediately deduct the full cost of certain assets in the year they are placed in service. Normally, companies would spread these deductions out over the useful life of the asset, but bonus depreciation accelerates the process, offering an immediate reduction in taxable income.”
Assets eligible for this deduction must have a useful life of 20 years or less under IRS rules. While buildings do not qualify, improvements such as interior upgrades, vehicles, and land improvements like paving or lighting typically do.
The bill also makes changes to Section 179 of the tax code. “The OBBB updates Section 179 of the tax code, allowing businesses to deduct the full cost of certain assets in the year they are purchased instead of spreading the deduction out over time. Thanks to the new law, the Section 179 deduction limit has doubled to $2.5 million, with the phaseout threshold rising to $4 million. This change gives businesses more room to immediately write off the cost of new equipment, machinery, or property improvements, helping to ease the financial burden of large investments,” Autry said.
Section 179 covers purchases such as equipment, off-the-shelf software, and certain nonresidential property improvements including roofing and HVAC systems.
A further provision in OBBB is aimed at manufacturing and production facilities. “The OBBB also introduces a new 100% deduction for qualified production property (QPP), aimed at encouraging investment in manufacturing and production facilities. QPP covers newly constructed nonresidential real property primarily used for producing or refining tangible goods. To qualify, construction must begin after Jan. 19, 2025, and before Jan. 1, 2029. The property must be placed in service before Jan. 1, 2031,” Autry explained.
This incentive does not apply to offices or properties used for sales or research but is intended for projects like plants or production infrastructure.
The Fresno Chamber offers educational webinars free for members and charges $20 for nonmembers. Those interested can view upcoming events on their calendar. Membership provides access to these educational opportunities along with networking events and marketing resources; more information is available here.
For ongoing updates about business initiatives in Fresno County and related topics from the Chamber’s perspective visit their official website.
