The 2025 “One, Big, Beautiful Tax Bill,” recently approved by the House Budget Committee, brings a wave of tax reforms and extensions that could significantly benefit the U.S. trucking industry.
With provisions aimed at boosting capital investment, easing financing burdens and assisting families in passing on their businesses through an increased estate tax exemption, the bill should provide a positive tax environment for the future for trucking firms.
Section 199A: Boost for S Corps and Partnerships
The bill increases the Qualified Business Income (QBI) deduction under Section 199A from 20% to 23% and makes it permanent. This change is especially impactful for independent owner-operators and owners structured as pass-through entities, effectively lowering their tax burden and improving after-tax income.
Bonus Depreciation: 100% Write-Offs Extended
A major win for the trucking industry is the restoration of 100% bonus depreciation for qualified property, including trucks and trailers. This provision, extended through 2029, allows businesses to immediately deduct the full cost of new equipment, encouraging investment in cleaner, more-efficient vehicles and reducing upfront capital costs.
Section 174: R&D Deductibility Restored
The bill reinstates the immediate deductibility of research and development (R&D) expenses under Section 174 for tax years 2025 through 2029. For trucking companies investing in logistics technology, route optimization software, or alternative fuel systems, this change restores the full benefit of R&D spending.
Section 163(j): Interest Deduction Relief
The definition of adjusted taxable income under Section 163(j) reverts to an EBITDA-based calculation (earnings before interest, taxes, depreciation and amortization) for 2025–2028. This change increases the amount of deductible business interest, benefiting capital-intensive trucking firms that rely on financing for fleet expansion or infrastructure development.
Estate and Gift Tax Exemption: Planning for the Future
The bill also raises the estate and gift tax exemption to $15,000,000, allowing family-owned trucking businesses to transfer more wealth without triggering federal estate taxes. This supports generational continuity and succession planning, a critical issue for many mid-sized trucking firms.
Conclusion
With these provisions, the “Big, Beautiful Tax Bill” delivers targeted relief and long-term incentives for the trucking industry. This bill resolves the sunsetting of many of provisions of the 2017 tax law and should provide the trucking industry with the opportunity for growth and innovation into the future.
Please note: This article was written before the final version of the bill became law, so some information may no longer be current.
About Schneider Downs Transportation & Logistics Services
The Schneider Downs Transportation & Logistics industry group includes assurance, tax, technology and management consulting professionals who combine their individual expertise to serve transportation and logistics companies throughout the United States. We possess the capabilities and industry expertise to provide our clients with state-of-the-art technologies and timely communication of the most current and pervasive legislative and regulatory changes impacting the industry. To learn more, visit our Transportation & Logistics Industry Group page.
