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The Herald Scotland
5 hours ago
- Sport
- The Herald Scotland
Meehan seeking stamina answers with Steventon contender Rashabar
He has since chased home the brilliant Field Of Gold twice, placing fourth in both the Irish 2,000 Guineas and in St James's Palace Stakes ahead of a first attempt at a mile and a quarter at Listed level this weekend. Meehan said: 'He's very well and we're on a finding-out mission to see whether he'll get the trip. 'There was never any question mark about whether he'd get the mile, if anyone had doubts about that they were obviously watching a different horse to me, but the mile and a quarter is unknown territory. 'I've always felt he would stay and we're doing it try to open up more possibilities for him. He's a Group One horse and he needs to have different bullets in his arsenal really, to give him options to try to get that Group One win. 'He ran very well in the Irish Guineas and I was happy with his run at Ascot. He was hampered twice by two different horses up the straight and I felt he ran a very solid race.' With rain forecast, conditions could ease at Newbury, which Meehan admits may not be ideal given the question marks over his stable star's stamina. He added: 'I don't think cut in the ground bothers him, but I don't know how I'd feel about soft ground on a fact-finding mission over this trip.'
Forbes
5 hours ago
- Business
- Forbes
One Big Tax Break: The Top 5 Business Cuts In The Big Beautiful Bill
WASHINGTON, DC - JULY 04: U.S. President Donald Trump, joined by Republican lawmakers, signs the ... More One, Big Beautiful Bill Act into law on the South Lawn of the White House in Washington, DC. (Photo by) On July 4, 2025, President Donald Trump signed into law what he has called the biggest tax cut in U.S. history—the 'One Big Beautiful Bill Act' (OBBBA). The act is poised to serve as a comprehensive effort to stimulate economic growth, minimize regulatory burdens, and foster greater benefits for entrepreneurs. The Bill introduces a range of tax changes benefiting both individuals and business owners. While the legislation is broad in scope, and extends beyond tax matters, one of its key features is the slate of tax cuts targeted at American businesses, particularly those in the small and growing category. These elements are designed to reduce tax liabilities and encourage capital investment for business owners navigating a challenging post-pandemic economy. Let's take a closer look at the top five business tax cuts in the OBBBA and what they could mean for entrepreneurs in 2025 and beyond. Permanent Extension of the Qualified Business Income Deduction The Act makes a major, permanent change to the tax code by securing the Section 199A pass-through deduction—commonly known as the Qualified Business Income (QBI) deduction—as a permanent feature of U.S. tax law. Originally introduced under the Tax Cuts and Jobs Act (TCJA) of 2017 during President Trump's first term, the QBI deduction allows eligible owners of pass-through entities—such as sole proprietorships, partnerships, S corporations, and certain trusts and estates—to deduct up to 20% of their qualified business income from taxable income. The deduction was a significant tax benefit designed to level the playing field between pass-through businesses and C corporations, which had received a substantial corporate tax rate cut under the same legislation. Under the original TCJA, however, the QBI deduction was scheduled to sunset at the end of 2025, creating uncertainty for millions of small business owners and entrepreneurs who relied on the deduction to reduce their effective tax rate. The expiration would have effectively raised taxes on pass-through businesses, many of which are the backbone of the American economy. By making the QBI deduction permanent, the OBBBA eliminates that looming uncertainty and ensures long-term tax stability for a wide range of businesses. In addition to making the deduction permanent, the OBBBA also raises the income thresholds at which the deduction begins to phase out. Joint filers with taxable income up to $494,600 are now eligible to claim the full deduction, an increase of more than $10,000 over previous limits. This change expands access to higher-earning business owners who were previously limited or excluded from the deduction. Notably, these expanded thresholds will be indexed to inflation beginning in 2026, helping the deduction maintain its value and reach over time. The Act also introduces a minimum deduction safeguard for the smallest businesses. Under the new provision, businesses with at least $1,000 in qualified business income from an active trade or business are guaranteed a minimum deduction of $400, ensuring that even the smallest entrepreneurs benefit. Like the income thresholds, this minimum deduction will also be adjusted for inflation starting in 2026, providing lasting relief to microbusinesses and sole proprietors. Together, these updates to the QBI deduction reflect the OBBBA's broader goal of supporting small businesses, reducing tax burdens, and encouraging long-term investment in the U.S. economy. By removing the expiration date and enhancing accessibility, the Act strengthens a vital tool for American business owners and brings a new level of predictability to tax planning for years to come. Increases Research and Development Deductions The OBBBA introduces a significant change to how businesses handle domestic research and development (R&D) expenses by permanently restoring immediate expensing. This means that companies can now deduct the full cost of their qualified R&D expenditures in the year those expenses are incurred, rather than amortizing them over several years—a requirement that had been in place since 2022 under the TCJA. For small businesses—defined as those with average annual gross receipts of $31 million or less—the law goes a step further. These businesses are allowed to retroactively apply immediate expensing for domestic R&D costs incurred after December 31, 2021, offering a valuable opportunity to amend past returns and recover tax benefits that were previously deferred under the amortization rules. For larger businesses, or those with gross receipts above the $31 million threshold, the legislation allows for a transition period. Domestic R&D expenses incurred between December 31, 2021, and January 1, 2025, that were previously amortized can now be accelerated and deducted over a shortened period of one or two years, depending on the company's choice or eligibility criteria. This acceleration provides meaningful near-term tax relief while phasing in the return to full expensing. Together, these changes are aimed at incentivizing innovation, easing cash flow constraints, and reversing the chilling effect the TCJA's R&D amortization requirement had on business investment in domestic research. The provision is especially beneficial for startups and small tech-driven enterprises, which often rely on R&D investment but lack the capital to wait years for tax benefits to materialize. Increases Business Interest Deductions The new legislation permanently reinstates the EBITDA-based limitation on business interest deductions. EBITDA stands for earnings before interest, taxes, depreciation, and amortization. In 2017, TCJA introduced a limit on business interest expense deductions to 30% of adjusted taxable income (ATI). Initially, from 2018 to 2021, ATI was calculated using an EBITDA-based approach. However, for tax years starting after December 31, 2021, the calculation shifted to an EBIT-based approach (earnings before interest and taxes), which excludes depreciation and amortization. This change generally resulted in stricter limitations and increased tax liability for businesses, particularly capital-intensive companies. In short, by permanently restoring the EBITDA-based limitation, the OBBBA provides many business owners with a greater ability to deduct business interest expenses. This is because the EBITDA-based ATI calculation typically yields a higher ATI amount, enabling a larger interest deduction. This will create some relief for capital-intensive businesses that invest a significant amount into long-lived assets like equipment and machinery. The previous EBIT-based limitation had a negative impact on capital-intensive businesses due to their significant depreciation and amortization expenses. The shift back to EBITDA may alleviate some of the tax burden on these companies in industries like farming and manufacturing. Restores 100 Percent Bonus Depreciation The OBBBA permanently restores 100% bonus depreciation for short-lived investments. Purchases of business assets, such as equipment and vehicles, are now 100% deductible in the year they are purchased and/or put into service for the business. Congress first introduced 100% bonus depreciation as part of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. This allowed for a temporary 100% bonus depreciation rate from September 2010 through the end of 2011. More recently, the TCJA of 2017 allowed businesses to deduct 100% of the cost of eligible property placed in service after September 27, 2017, and before January 1, 2023. The TCJA required bonus depreciation began phasing out in 2023, resulting in a reduction in the percentage deductible, decreasing to 80% for 2023, 60% for 2024, and now 40% for 2025. With the BBB, the deduction will be restored to 100% for 2025 and remain at 100% permanently. Plus, for vehicles purchased in your personal name, the law now provides a deduction for auto loan interest of up to $10,000 for purchases of new vehicles that are assembled in the United States. If the vehicle is purchased personally but used in the business, you can take advantage of the deduction for bonus depreciation and the auto loan interest deduction. Provides 100 percent expensing of new business buildings The Act includes a targeted incentive aimed at stimulating domestic industrial investment through a special provision for structures classified as qualified production property (QPP). These are buildings and facilities that are primarily used in the manufacturing, production, or refining of tangible personal property within the United States. The goal is to encourage companies to expand or modernize their physical infrastructure to support domestic industrial activity and strengthen U.S. supply chains. To qualify for the 100% immediate expensing benefit, certain timing and use conditions must be met. Construction of the QPP structures must commence after January 19, 2025, and before January 1, 2029, offering a defined window during which businesses must begin their projects to be eligible. Additionally, the property must be placed in service no later than January 1, 2031, ensuring that the economic benefits are realized within a reasonable timeframe. However, this tax benefit is not universally available to all types of property within a facility. The provision explicitly excludes parts of a structure that are used for non-production activities, such as office space, administrative functions, employee cafeterias, parking garages, and other ancillary or support areas. Only the portions of the structure that are directly involved in qualifying industrial processes—like assembly lines, fabrication areas, or refining equipment spaces—are eligible for the accelerated deduction. This distinction is critical, as it ensures the tax benefit is narrowly tailored to incentivize core production investments rather than general corporate expansion. By doing so, the OBBBA aims to maximize the economic impact of the expensing provision, driving capital investment directly into the sectors and activities that are central to domestic manufacturing competitiveness and economic resilience. The One Big Beautiful Bill Act marks a sweeping shift in U.S. tax policy, particularly for the business community. By making key provisions permanent—like the Qualified Business Income deduction, 100% bonus depreciation, and EBITDA-based interest deductions—while expanding incentives for research, innovation, and industrial infrastructure, the Act seeks to reduce financial friction for businesses of all sizes. It delivers targeted relief to small businesses and capital-intensive industries alike, while sending a clear message: the U.S. is doubling down on domestic growth, productivity, and entrepreneurship. As business owners look ahead, these tax cuts are poised to not only lower costs but also fuel reinvestment, expansion, and innovation in an economy still reshaping itself in the post-pandemic years ahead. Whether you're a startup founder, manufacturer, or seasoned entrepreneur, the OBBBA's top five tax breaks represent new opportunities—and new responsibilities—to plan smart and grow strong.
Forbes
6 hours ago
- Business
- Forbes
No Tax On Overtime Explained
WASHINGTON, DC - JULY 04: U.S. President Donald Trump, joined by Republican lawmakers, signs the ... More One, Big Beautiful Bill Act into law during an Independence Day military family picnic on the South Lawn of the White House on July 04, 2025 in Washington, DC. After weeks of negotiations with Republican holdouts Congress passed the One, Big Beautiful Bill Act into law, President Trump's signature tax and spending bill. The bill makes permanent President Donald Trump's 2017 tax cuts, increase spending on defense and immigration enforcement and temporarily cut taxes on tips, while cutting funding for Medicaid, food assistance and other social safety net programs. (Photo by) Getty Images Should working longer hours mean keeping more of your paycheck? The Trump administration and authors of the One Big Beautiful Bill Act (OBBBA) seemed to answer in the affirmative. Starting in 2025, a large chunk of overtime pay will not be subject to federal income tax. It's a populist-sounding provision with bipartisan support or, put differently, an easy applause line in a hard economy. But, if you peel back the campaign slogans, the policy raises some deeper questions about fairness, labor markets, and whether the tax code should play favorites with how we work. To be clear, the 'no tax on overtime' policy isn't really a blanket exemption on overtime pay—it's a deduction, capped at $12,500 for individuals and $25,000 for married couples filing jointly. It applies only to qualified overtime compensation under the Fair Labor Standards Act (FLSA), meaning the time-and-a-half pay earned by non-exempt workers—generally hourly employees making less than $35,568 per year. It isn't the full overtime amount that is deductible, it's the extra compensation over regular wages. So, if you make $20 an hour and $30 in overtime, only that $10-per-hour difference counts. The deduction phases out incrementally above $150,000 in individual income and the entire provision sunsets in 2028—though it has a good chance of becoming politically permanent. Despite the campaign trail framing, this isn't a windfall for most workers. The biggest winners are going to be middle-income workers who work significant overtime and still owe federal income taxes after the standard deduction and other credits. Many low-wage workers—especially those with dependents—already have little to no federal income tax liability owing to the expanded standard deduction and child tax credit. For them then, this deduction is worthless. But if you imagine a single factory worker putting in 50-hour weeks at $22 per hour, the difference could be hundreds of dollars. In practice, this is a modest tax break for a very specific demographic of working-class voter. Assuming that factory worker regularly worked ten hours in overtime, they'd be able to deduct about $5,700 from taxable income at the end of the year. That isn't a credit, mind you, it is just what will be deducted from their total income of about $62,900. If you crunch the numbers, the provision will save that factory worker about $900 per year in tax liability. On paper, and as a political plank, this policy rewards hard work. In practice, it is a subsidy for a particular kind of work: hourly, eligible-for-overtime, and just tax-liable enough. In other words, a tax subsidy for financial precarity. Here is where things start to get distortive. Two workers each earning the same $62,900 per year could face very different tax bills depending on how their income is structured—say, one salaried and the other hourly with overtime. That violates the concept of horizontal equity, the idea that similarly situated people should be taxed similarly. This deduction suggests we want to tax based on effort, not earnings. It also sets up some predictable behavioral incentives on the part of employers. They are already playing cat-and-mouse with overtime classification rules—now they have a real reason to game it. Lower base wages, more overtime hours, and absolutely no additional cost to the firm. Workers' incentives will be aligned, and they may find themselves chasing longer shifts to qualify for the deduction. Economically, subsidizing overtime doesn't create jobs—it actually destroys them on paper. When existing workers are pressed to work longer hours, employers have less need to hire on additional staff. A 50-hour week for one employee can be replaced by tacking on an additional ten hours across five separate workers. The overtime deduction thus may boost take-home pay for some, but it does so by encouraging a labor distribution that concentrates hours in the hands of fewer people. In strict policy terms, this is a stealth anti-job creation measure. Policy Tradeoffs and the Politics That Drive Them At $89 billion over ten years, the 'no tax on overtime' provision is more of a rounding error as against the $3 trillion OBBBA cost . And yet, each rounding error comes at the expense of something else. The money spent on the OBBBA could've expanded the Earned Income Tax Credit, or funded a refundable childcare benefit. It could have boosted wages through direct support. Instead, we've chosen to reward more hours, not better jobs. And, contrary to campaign spin and political bluster, this won't expand the labor market—economically, it's closer to a job killer. The politics, however, are easy. Subsidizing 'hard work' polls well and cuts cleanly across partisan lines. It plays to a cultural narrative, a Horatio Alger story, that values hustle over balance. Republicans can call it a reward for effort, and Democrats can back it for working-class symbolism, if not effects. No one is eager to point out that the federal government just made overtime the most tax-advantaged income in America.
Newsweek
9 hours ago
- Business
- Newsweek
How Republicans Can Prove They're Serious About the National Debt
The Republican Party's unified control of Congress and the White House is on borrowed time. Facing a $37 trillion national debt, the elected officials the grassroots sent to Washington with a mandate to cut spending are waffling over whether to eliminate $9.4 billion, which is to say 0.00025 percent of the debt. If the GOP cannot deliver on such low-hanging fruit, it will have squandered a rare opportunity and handed a win to big-government liberals. Lawmakers face two options: Pass the Rescissions Act now or abandon your principles and watch as your voters abandon you. Congress adopted rescissions under the 1974 Impoundment Control Act as a reminder that the legislative branch's power of the purse is not simply to empty the purses of hardworking Americans. It allows the president to propose canceling previously appropriated, unobligated funds, subject to congressional approval within 45 days. The current package targets $8.3 billion in foreign aid—think environmentalist initiatives in Africa—and $1.1 billion for the Corporation for Public Broadcasting, which funds NPR and PBS—think taxpayer-funded propaganda. These are programs many Americans recognize as nonessential, yet they persist because of bureaucratic inertia and political timidity. At a time when every man, woman, and child in America is on the hook for $108,000 to pay off the national debt, the rescissions package would be the equivalent of knocking $27 off the price tag. It is a paltry sum, which means it is even more vital to pass without amendment. WASHINGTON, DC - JULY 1: Senate Majority Leader John Thune (R-SD) (2nd-L), accompanied by Sen. John Barrasso (R-WY) (L), Sen. Mike Crapo (R-ID) (2nd-R), and Sen. Lindsey Graham (R-SC) (R), speaks to reporters off the... WASHINGTON, DC - JULY 1: Senate Majority Leader John Thune (R-SD) (2nd-L), accompanied by Sen. John Barrasso (R-WY) (L), Sen. Mike Crapo (R-ID) (2nd-R), and Sen. Lindsey Graham (R-SC) (R), speaks to reporters off the Senate floor after the Senate passes President Donald Trump's so-called "One, Big, Beautiful Bill," Act at the U.S. Capitol Building on July 1, 2025 in Washington, DC. MoreThe House vote was razor-thin at 214-212, and the Senate, where a simple majority can pass the package, must act now to avoid expiration. Every defection risks derailing this effort and emboldening liberals to obstruct future reforms. Some Senate Republicans already appear to be wavering. Senate Majority Leader John Thune (R-S.D.) must set a clear red line for his colleagues, reminding them that voters deserve the benefit of the doubt over entrenched D.C. insiders. The Rescissions Act isn't about slashing essential services; it's about prioritizing taxpayer dollars over bureaucratic sacred cows. The national debt is an existential threat. The CBO estimates that net interest payments are projected to hit $1 trillion next year, crowding out investments in defense, infrastructure, and tax relief. Every dollar spent on questionable programs—say, for example, the $10 million set aside for "gender programs" in Pakistan that somehow found its way into the domestic COVID relief bill—is a dollar stolen from future generations. The Rescissions Act, though modest at 0.5 percent of discretionary spending, is a critical signal to voters and the market. If Republicans can't rally behind it, they risk surrendering credibility as the party of fiscal sanity. It is time for Congress to reassert its role as the legislature rather than outsource its responsibilities to the executive branch. Elon Musk and DOGE did an admirable job from the White House in flagging $162 billion in improper payments in 2024 alone. Rescissions are the constitutional path to codify these savings, shielding the administration from legal challenges while reasserting Congress' fiscal responsibility. If Republican senators refuse to govern out of concern for their constituents, perhaps they will do so for the sake of their own political survival. Unified government is a rare thing in America—only 15 times since 1900 has one party held the White House, Senate, and House at once. History shows voters punish complacency when lawmakers ignore the mandate that sent them to Washington. In 2018, a $15 billion rescissions package passed the House but died in the Senate, undone by GOP senators prioritizing pet projects. Voters let them have it in the midterms that followed. Democrats clearly have the midterms in mind as they unify behind Democratic Senate leader Chuck Schumer (N.Y.). Schumer has threatened to shut down the government if the Senate passes these modest cuts. Rather than run scared, Republicans would do well to remember his predecessor, the late Sen. Harry Reid (D-Nev.). In July 2013, Reid threatened the nuclear option if the GOP did not confirm several of President Barack Obama's radical labor nominees; Republicans capitulated. Reid rewarded that display of cowardice by deploying the nuclear option a few months later. Schumer, no doubt, has similar plans. If he senses wavering from a majority that is more committed to the status quo than its own principles, he will have all the more reason to shut down the government and obstruct future budget reforms. Republicans should make liberals justify their own spendthrift ways, rather than playing defense. The Rescissions Act is a test of whether the GOP can follow the mandate that voters gave them in 2024. Pass the package, unapologetically, and make Schumer and company defend the status quo of borrowing 40 cents on the dollar to pay for liberal pet projects. The choice is clear for Senate Republicans as the July 18 deadline approaches: cut now or pay dearly later. Erick Erickson is host of the nationally syndicated Erick Erickson Show and a member of the Americans for Prosperity Advisory Council. The views expressed in this article are the writer's own.
The Citizen
12 hours ago
- Automotive
- The Citizen
Rosslyn plant safe for now as Nissan commits to Africa growth
Nissan South Africa has broken its silence on reports that its Rosslyn plant outside Pretoria could close as part of the Re:Nissan restructuring plan. Seven factories in line for closure The Citizen reports that in May, Reuters revealed at least seven of the brand's 17 global production sites face closure before the end of the decade. Those most likely are Oppama and Shonan in Japan, the Renault co-run Chennai and Santa Isabel plants in India and Argentina, and at least one of its three plants in Mexico. This follows the brand announcing a net loss of R82.2b earlier this year, coupled with a planned 15% cut in its global workforce from the original 9 000 announced last year, to at least 20 000 by 2027. The failed merger with Honda and the subsequent resignation of CEO Makoto Uchida have also been cited as reasons for the brand's worsening position. Rosslyn's dilemma One of the plants rumoured for closure, the 59-year-old Rosslyn facility – which currently only produces the Navara for South Africa and Sub-Saharan Africa – has been under scrutiny following the withdrawal of the NP200 in 2023. As a result of Russia's invasion of Ukraine, Nissan cut its workforce by 400, despite its chairperson for the Africa, Middle East, India, Europe and Oceania regions, Guillaume Cartier, stating last year it is exploring production of a second model to fully utilise the plant's capacity. At the same time, Nissan's managing director for South Africa and independent African markets, Maciej Klenkiewicz, confirmed a study is under way into the feasibility of producing another model alongside the Navara. Sign of staying? Speaking at the launch of the Navara Stealth in Magaliesburg last week, Nissan president for Africa Jordi Vila suggested that, despite persistent rumours, the brand has no plans to exit South Africa or shut down Rosslyn. This comes after confirmation that the Oppama plant will cease operations by 2028, while the Chennai and Santa Isabel facilities may become fully owned by Renault, with current Nissan products continuing, albeit assembled by its alliance partner. 'We need to be proud of our heritage and where we come from. And when I look at Nissan's history in South Africa and the models, we should not lose that and [instead] build on it for the future. It is a market where we want to be from the past to the future,' Vila said. 'We are committed to growth in Africa and South Africa. Our plan is to grow – we grew with Navara and Magnite, and we want to grow the concept of built in Africa for Africa. 'We should be proud of producing this quality of vehicle (in Africa), and we don't want to give up on that,' Vila concluded.
