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 Roman Lucero, Senior Tax Associate, to discuss changes to individual income tax rates under the One Big Beautiful Bill Act. While these rules apply at the individual level, they are especially relevant for lender owners, executives, and high-earning professionals whose personal tax profiles play a central role in broader planning decisions.
Key Takeaways from the Episode
- Lower individual tax rates are now permanent: The reduced marginal tax rates introduced under prior law were set to expire, but the One Big Beautiful Bill Act eliminates that uncertainty by making them permanent.
- Inflation indexing continues and expands at the low end: Tax brackets will remain indexed for inflation, with additional adjustments benefiting income taxed at the lowest rates.
- Previously expected tax increases are off the table: Absent the Act, individual taxpayers would have faced higher rates beginning in 2026; those increases will no longer occur.
- Effective tax rates involve more than brackets: Investment income taxes, Medicare-related surtaxes, and capital gains considerations can all affect overall liability.
- Planning still matters despite rate stability: Even with favorable rate outcomes, proactive tax planning remains critical to managing exposure across income types.
Taken together, these changes provide welcome stability for individual taxpayers—while reinforcing the value of a holistic approach to tax planning.
Watch the full episode below to hear Kenny and Roman discuss how individual income tax rates are treated under the One Big Beautiful Bill Act and what taxpayers should keep in mind as they plan ahead.
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 individual income tax rates 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.
