Richey May’s Inside the One Big Beautiful Bill Act video series is designed to help mortgage lenders and other industry-affiliated businesses understand what this sweeping legislation means in practice, not just in theory. Hosted by Kenny Burch, Director, Mortgage Banking Tax, the series features focused conversations with experts from Richey May’s Mortgage Banking Tax team, each examining a specific provision of the Act and its implications.
In this episode, Kenny is joined by Alex Holloway, Senior Tax Associate, to explore how the One Big Beautiful Bill Act reshapes fixed asset expensing under Sections 179 and 168(k). Together, these provisions govern how and when businesses can deduct the cost of qualifying assets, making them especially relevant for mortgage lenders evaluating technology investments, equipment purchases, and broader growth initiatives.
Key Takeaways from the Episode
- Fixed asset expensing rules have become significantly more generous: Updates to both Section 179 and bonus depreciation expand how much of an asset’s cost can be deducted upfront, rather than over time.
- Section 179 limits have increased: Higher expensing and investment thresholds create more flexibility for lenders making sizable asset purchases in a single year.
- Bonus depreciation is back at full strength: The One Big Beautiful Bill Act permanently restores 100% bonus depreciation for qualifying assets, eliminating prior phase-out schedules.
- The two provisions work together: Section 179 and bonus depreciation can be used in tandem, allowing excess asset costs to flow through different expensing mechanisms.
- Eligibility still matters: Not all assets qualify, and certain elections may be appropriate depending on a lender’s broader tax position, making upfront planning essential.
Taken together, these changes substantially alter the cost-benefit analysis of capital investment, turning depreciation strategy into a more active planning consideration.
Watch the full episode below to hear Kenny and Alex walk through how fixed asset expensing works under the One Big Beautiful Bill Act, including detailed breakdowns and practical planning considerations.
Continue the Conversation
This episode is part of the Inside the One Big Beautiful Bill Act series, which explores additional provisions shaping the mortgage banking tax landscape. Visit the series page to watch other episodes and stay current as new guidance continues to emerge.
If you have questions about fixed asset expensing or any aspect of the One Big Beautiful Bill Act that may impact your organization, the Richey May Mortgage Banking Tax team is available to help.
