Current Developments Overview of Selected Provisions in and Background Behind Reconciliation Legislation

The 2025 reconciliation act (referred to as the One Big Beautiful Bill Act (OBBBA), though that is not the official name of the Act) generally extends and enhances provisions in the 2017 Tax Cuts and Jobs Act permanently (until changed by a future Congress). The estate, gift, and GST “exemption” is increased (also permanently) to $15 million in 2026 (with future inflation indexing).  Selected provisions of the Act and “behind the scenes” issues and negotiations underlying the Act are summarized.