Harnessing the One Big Beautiful Bill: How TileTools.com Customers Can Save Big on Tool Purchases
On July 4, 2025, President Trump signed the One Big Beautiful Bill Act (OBBBA) into law. This sweeping legislation makes permanent many parts of the 2017 tax law and introduces new deductions designed to encourage investment in equipment and machinery. For tile installers, remodelers, and other tradespeople, the bill offers immediate tax savings that can make upgrading your tool kit more affordable than ever.
Key tax breaks that reduce the cost of new tools
Permanent 20% pass-through deduction
The OBBBA makes permanent the 20% qualified business income (QBI) deduction for pass-through entities like sole proprietorships, partnerships, LLCs, and S-corps. It also raises the income phase-in range to $75k for single filers and $150k for joint filers and introduces a $400 minimum deduction for those with at least $1,000 of active business income. This allows tile professionals to continue receiving tax breaks on business profits beyond 2025.
100% bonus depreciation for equipment purchases
OBBBA restores 100% bonus depreciation for property acquired after January 19, 2025. This means you can write off the full cost of qualifying equipment—including wet saws, tile cutters, vehicles, and software—in the year it’s placed in service. For example, if you spend $50,000 on new tools and a van, you can deduct the entire amount that same year.
Higher Section 179 expensing limits
The bill permanently increases the Section 179 expensing limit to $2.5 million with a phase-out threshold of $4 million. This allows you to deduct the full cost of equipment, including used items, immediately.
Simplified 1099 reporting for digital payments
For those accepting payments through apps like PayPal or Venmo, the law reverts the reporting threshold for Form 1099-K to $20,000 and 200 transactions. It also raises the 1099-NEC/MISC threshold from $600 to $2,000 starting in 2026—reducing paperwork and the risk of surprise tax forms.
What this means for TileTools.com customers
TileTools.com offers professional-grade saws, cutters, mixers, and more. Thanks to OBBBA, qualifying purchases made after January 19, 2025 may be fully deductible through bonus depreciation or Section 179 expensing. Combined with the ongoing 20% QBI deduction, these benefits can significantly reduce your tax bill.
And with the higher 1099 thresholds, buying from TileTools.com won’t trigger tax forms unless you exceed $20,000 in purchases and 200 transactions annually—making recordkeeping easier for small contractors.
Tips to maximize your savings
- Plan purchases strategically: Schedule major equipment buys after January 19, 2025 to take advantage of 100% depreciation.
- Consult a tax professional: They can advise whether bonus depreciation or Section 179 is better for your situation.
- Finance wisely: Interest rates may rise, so secure fixed-rate financing early if you’re buying large equipment.
- Keep accurate records: Higher 1099 thresholds ease paperwork, but receipts still matter for deductions.
Final thoughts
The One Big Beautiful Bill Act creates powerful tax incentives for investing in your business. From bonus depreciation to Section 179 to permanent QBI deductions, you can write off tools and equipment in the year you buy them. TileTools.com is ready to supply the products you need—backed by top-tier support—to make the most of these new benefits.