OBBBA

1. Tax-Cuts & Deduction Changes

• The bill raises the cap on the state and local tax (SALT) deduction: for example, joint filers can deduct up to $40,000 (versus the previous $10,000 cap) starting in 2025.
• It enhances immediate expensing/write-off rules for businesses (investments, equipment, software) to stimulate domestic manufacturing and capital investment.
• New deductions/credits: e.g., for qualified overtime income, child tax credit changes, and adoption tax credit modifications.

2. Changes to Business/Investment Incentives & Clean Energy

• Some clean energy tax credits that were available under prior legislation (e.g., via the “Inflation Reduction Act”) are phased out or restricted more quickly under OBBBA.
• E.g., the Congressional Budget Office (CBO) estimates the bill increases the U.S. federal deficit by about $2.8 trillion over ten years..

3. Spending & Programme-Cuts/Shifts

• The bill raises the statutory debt limit and includes large spending allocations (e.g., defence, border enforcement) alongside cuts or stricter requirements to social programmes (like Medicaid and food assistance).
• On the flip side, other investment/production incentives (for domestic manufacturing, advanced semiconductors) are strengthened.

4. Impacts on Individuals & Families

• Some direct tax relief: e.g., larger SALT deduction cap, tax relief for overtime income, changes to child tax credit.
• However, there are concerns over eligibility shifts, phase-outs for higher income earners, and changes in benefit programmes.

5. International/Cross-Border Effects – Affecting Canadian Entities

Since you are based in Canada (and likely deal with cross-border clients/SEO/ business), these are relevant:

• Canadian companies doing business in the U.S. and U.S. individuals in Canada should take note.
• For example, changes to tax treatment of foreign transfers (“remittances”), more aggressive U.S. incentives to keep investment domestic, etc.

✅ Potential Benefits

• For U.S. resident individuals: More generous deductions for SALT, overtime deduction, and certain tax reliefs may reduce tax liability.
• For U.S. businesses: Enhanced write-offs and investment incentives may encourage capital spending, expansions, and hiring — good for domestic manufacturing, software/hardware production in the U.S.
• For Canadian firms: If you serve U.S. clients or have U.S. operations, these changes may create new demand (for domestic U.S. services/production) and possibly affect cross-border tax structure.

⚠️ Potential Downsides / Risks

• Deficit/debt risk: The large fiscal cost means future taxes may need to go up or spending may be cut. The CBO estimates large increases in debt.
• Cuts to social programmes: The legislation includes stricter eligibility/work requirements for aid programmes and reductions in certain benefits. This can impact lower-income households.
• Clean energy investment risk: If you or your clients are in renewable energy or clean-tech markets, the accelerated phase-out of credits creates risk in project economics/timeliness.
• Cross-border complications: For Canadian investors/businesses with U.S. exposure, the new rules may require restructuring or recalculating tax strategy, especially with remittance/excise tax rules.

🎯 For Canadians / Canadian Business Specifically

1. If your UK/Canada-based brand (you mention working in the Canadian market, etc.) has U.S. suppliers or U.S. operations, you’ll want to review:
   • U.S. tax implications of any U.S. subsidiary or U.S. investment.
   • Changes in the U.S. tax deduction regime may affect the U.S. partner’s cost structure (and indirectly your pricing).
2. For cross-border clients you service (via SEO, digital marketing), you might find new demand from U.S. firms reacting to these tax changes (e.g., accelerated investment, restructuring).
3. For Canadians sending money to or receiving money from the U.S., keep an eye on remittance/excise tax aspects.