2026 tax-law changes for South Florida business owners

Review the 2025 law’s changes against your 2026 income, payroll and investment plans. A deduction headline does not establish eligibility.

New individual deductions have conditions

Qualified tips, qualifying overtime compensation, certain new-vehicle loan interest and an additional senior deduction have separate eligibility rules, income limits and documentation requirements. These provisions generally apply for 2025–2028. “No tax” descriptions do not eliminate every tax on the underlying income.

Equipment deductions require a purchase review

The law restored 100% bonus depreciation for eligible property acquired and placed in service after January 19, 2025, subject to the applicable rules. Section 179 is a separate election with limits. Compare business need, financing, business use and cash flow before purchasing equipment; a deduction does not repay the purchase price.

Qualified business income remains a separate calculation

The Section 199A deduction was made permanent. Eligibility and limits depend on taxable income, the business and other factors. Owner wages and investment income are not simply included in QBI. Calculate the deduction rather than assuming every pass-through owner receives 20% of profit.

Domestic research costs may need a timing review

The treatment of domestic research and experimental expenditures changed. Transition options, elections and eligibility can affect prior costs as well as current spending. Software-development businesses should have the specific expenditures and tax years reviewed.

Florida owners still need federal and multistate planning

Florida has no individual income tax, but federal taxes remain. Property taxes can make the state-and-local-tax deduction relevant, and income or operations elsewhere can create other-state obligations.

Separate beneficial-ownership rules from the tax law

FinCEN reporting is a separate regime. Under its current rule, U.S.-created entities and U.S. persons are exempt from BOI reporting; certain foreign entities registered in the United States may still have obligations. Confirm the current FinCEN guidance for the entity involved.

A useful year-end review

Bring a current profit-and-loss statement, balance sheet, payroll reports, estimated payments and planned purchases. Identify which provisions actually apply, what documentation is missing and which actions have a deadline.

Sources and further reading

• IRS: One, Big, Beautiful Bill provisions
• IRS: 2026 inflation adjustments
• FinCEN: beneficial ownership information

Reviewed September 15, 2026. General information; your facts and tax year determine the treatment.