BREAKING: Trump’s "Big, Beautiful Tax Bill" Just Passed (These Changes Are WILD!)

About this Video

• Video Title: BREAKING: Trump’s "Big, Beautiful Tax Bill" Just Passed (These Changes Are WILD!)
• Channel: Graham Stephan
• Speakers: Graham Stephan, Greg (future editor)
• Duration: 00:15:30

Introduction

This video discusses a new tax plan expected to pass through Congress, outlining potential tax breaks for US residents. Graham Stephan details specific provisions, including changes to tip taxation, overtime pay taxation, SALT deductions, car loan deductions, and clean vehicle tax credits. He also discusses a proposed $1000 tax credit per child and the extension of certain tax cuts. The video aims to inform viewers about these changes and their potential impact.

Key Takeaways

• No Tax on Tips (with caveats): Certain individuals in tip-based industries (servers, bartenders, etc.) with incomes under $150,000 annually may qualify for tax exemption on up to $25,000 in cash tips. Credit card tips are not included.
• No Tax on Overtime (with caveats): Individuals earning under $150,000 annually may be able to deduct overtime pay from their federal income taxes, making it tax-free (potential ambiguity on whether this applies to the full amount or just a portion).
• Increased SALT Deduction: The state and local tax (SALT) deduction is increased to $40,000 for those with an adjusted gross income (AGI) under $500,000. Above this, the $10,000 cap remains. Itemizing is required.
• Car Loan Interest Deduction: Interest on personal used car loans up to $10,000 annually may be deductible (2025-2028), but this phases out above $100,000 (single) or $200,000 (married) AGI and applies only to US-made vehicles.
• Elimination of EV Tax Credit: The $7,500 clean vehicle tax credit is eliminated by 2026, along with other clean energy incentives.
• $1000 Trump Account per Child: A one-time $1000 tax credit per child (born 2025-2028) will be deposited into a dedicated account, with potential penalties for non-qualifying withdrawals before age 31. Automatic cash-out at age 31.
• Extension of Tax Cuts and Jobs Act: The Tax Cuts and Jobs Act is extended, maintaining the 37% top tax bracket and providing continued tax cuts for business owners.