On July 4, 2025, Congress passed the One Big Beautiful Bill—a sweeping tax and energy package with major implications for small businesses, family‑owned companies, and the transportation sector. President Donald J. Trump signed the bill into law that same day, during a Fourth of July ceremony at the White House. For PMTA members, this legislation brings both significant opportunities and a few looming deadlines. Whether you’re an owner–operator looking to modernize your truck, a multi‑generational family business planning for the future, or a small fleet wrestling with rising costs, this bill touches your operation. Here’s what it means for you:

💰 Small Business Truckers Get Permanent Tax Relief

One of the most immediate wins for small carriers and owner-operators is that the bill made permanent the 20% Qualified Business Income (QBI) tax deduction under section 199A for pass-through businesses, which was originally introduced under the 2017 tax reform.

This provision gives small trucking companies more stability to invest, hire, or save. By preventing what would have been a significant tax increase, this is quiet game-changer for the countless independent contractors and family-owned operations that form the backbone of Pennsylvania’s trucking industry.

🪙 Equipment Investments Now Fully Deductible

The One Big Beautiful Bill delivers a powerful one-two punch for trucking companies investing in new equipment: a higher Section 179 expensing limit and the return of 100% bonus depreciation—both allowing full write-offs in the year purchases are made.

Under the updated law, the Section 179 deduction limit is now $2.5 million, with a phase-out starting at $4 million in total equipment purchases. That’s a substantial increase from 2024’s limits of $1.22 million and $3.05 million. And beginning in 2026, both thresholds will rise annually with inflation—ensuring the benefit keeps pace with rising costs for trucks, trailers, shop tools, and other assets.

Section 179 is especially useful for small and mid-sized fleets. It allows businesses to immediately expense the full cost of qualifying equipment in the year it’s placed into service—rather than spreading deductions over several years. For example, a company that buys two new trucks for $400,000 could deduct the entire amount that same year, reducing taxable income and freeing up cash for other priorities like safety equipment and workforce investments.

But the bill doesn’t stop there. It also restores 100% bonus depreciation until 2029. That means any qualified equipment—new or used—can be fully written off in the year it’s put into service, with no cap on the total amount.

Bonus depreciation is particularly helpful for larger carriers making investments above the Section 179 limit, or for companies that want to deduct all qualifying purchases without having to select individual assets. Together, these provisions create a massive incentive for trucking businesses to upgrade their fleets, add safety and fuel-efficiency features, or modernize shop operations.

Whether you're a one-truck owner-operator or a multi-generational fleet, these tax tools provide immediate, bottom-line savings and more flexibility to reinvest in your business.

👨‍👩‍👧‍👦 Protecting Generational Trucking Businesses

Trucking has always been a family business. Many PMTA members can trace their company’s origins back two, three, or even four generations. The estate tax exemption made permanent in this bill ensures these companies can stay in the family without facing devastating tax burdens.

The bill locks in the higher federal estate and gift tax exemption from the 2017 Tax Cuts and Jobs Act—currently over $15 million per individual. Starting in 2026, the exemption will be indexed to inflation. That means family-owned fleets won’t be forced to sell off trucks, property, or business equity just to pay a tax bill when ownership passes from one generation to the next.

For rural and family-rooted firms, this provision safeguards the legacy they’ve built.

🎓 CDL Training Gets a Boost Through Education Savings

Attracting new drivers continues to be one of the industry’s most persistent challenges. The One Big Beautiful Bill expands the use of 529 education savings plans to cover vocational and technical training—including Commercial Driver’s License (CDL) programs.

That means families can use tax-free savings to send a son, daughter, spouse, or even themselves through a CDL course. This provision doesn’t just help individuals pursue a stable and high-demand career—it helps small trucking companies tap into a better-trained, more accessible workforce.

🔒 Locking in Tax Certainty for Individuals and Small Business

The bill also codifies key provisions of the 2017 Tax Cuts and Jobs Act and includes additional tax incentives to drive investment and grow the economy:

• Permanently extends the lower tax rates for individuals and small businesses. Maintains the 37% top bracket.
• Permanently doubles the standard deduction.
• Family and Medical Leave Credit made permanent.
• Seniors receive an additional $4,000 deduction.
• Childcare tax credit increased from $2,000 to $2,500 for tax years 2025-2028.
• Qualified workers working overtime as defined by the Fair Labor Standards Act of 1938 will no longer pay tax on overtime. No tax on tips.
• Employer-provided childcare tax credit increases to 40% (50% for small businesses).

For trucking firms operating on tight margins, tax stability is critical. This move allows PMTA members to plan with more certainty—whether you’re weighing a capital investment, retirement contributions, or expanding payroll.

⛽ Fueling the Future

On the energy front, the bill offers a mixed bag for trucking and the fuel marketers that support the industry.

The good news is that the Clean Fuel Production Credit (§45Z) for low-carbon fuels like biodiesel has been extended through 2029, with increased rates and stronger incentives for domestic production. This benefits fleets running on or shifting to renewable diesel and the infrastructure partners working to support them.

But the timeline for electric vehicle (EV) credits and clean energy infrastructure incentives is tightening. EV tax credits for both commercial and passenger vehicles will expire at the end of 2025, and the broader clean electricity and hydrogen production credits phase out by 2027. This accelerated sunset—combined with tighter domestic content and foreign ownership restrictions—means that businesses considering major energy-related investments will need to move quickly to benefit.

👏 The Bottom Line

The One Big Beautiful Bill lives up to its name—for many in the trucking industry. It offers real tax relief, permanent planning tools, and targeted reforms that will help PMTA members grow, adapt, and invest. But it also puts some deadlines in place, particularly around energy investments.

📢 PMTA will continue to track developments on this front and keep members informed.