Senate Republicans narrowly passed the GOP’s One Big Beautiful Bill Act today. The bill now heads back to the House for final approval. President Trump has indicated that he wants to sign it into law by July 4.
The vote was 51-50, with Vice President J.D. Vance breaking a tie. Republican Sens. Susan Collins of Maine, Rand Paul of Kentucky and Thom Tillis of North Carolina joined Democrats and voted no.
Over the weekend, the American Bankers Association and the state bankers associations sent a letter in support of several key tax-related provisions in the bill. ABA and the state associations thanked lawmakers for including a narrow version of the Access to Credit for Our Rural Economy, or ACRE, Act, which would reduce the cost of credit in rural communities.
The associations also expressed their support for several tax provisions that the bill would make permanent, among them: the Section 199A deduction that levels the playing field for Subchapter S banks; the enhanced estate tax exemption that protects family-owned businesses (including banks) from having to liquidate to pay estate taxes; the New Markets Tax Credit that banks use to support growth in distressed communities; immediate expensing for R&D costs; bonus depreciation; and basing the Section 163(j) interest deductibility calculation on EBITDA instead of EBIT.
Also welcome, the associations said, were provisions to strengthen the Low-Income Housing Tax Credit and reducing the CFPB’s funding cap to promote accountability at the regulator. ABA’s HSA Council also noted with approval the inclusion of a measure expanding health savings account access.
