Navigating “One Big Beautiful Bill” (OBBB): How Lucasys Keeps You Ahead

On July 4, 2025, President Trump signed into law the highly anticipated One Big Beautiful Bill (OBBB), bringing sweeping changes to tax law and major updates to depreciation and business interest expense provisions. As tax and finance teams across the country begin digesting these new requirements, one thing is clear: the ability to adapt quickly is more important than ever.

At Lucasys, we built software with exactly this kind of legislative change in mind. While many organizations scramble to rework legacy systems, Lucasys customers can rest easy knowing they have a platform purpose-built to handle complex tax updates automatically and seamlessly.

Key OBBB Provisions Impacting Tax and Depreciation

Lucasys Chief Operating Officer, Daniel Chang, highlighted several crucial aspects of the new bill that Lucasys is already addressing:

• 100% Bonus Depreciation Restored
  The bill permanently restores 100% bonus depreciation for property placed in service after January 19, 2025. While utility property remains generally excluded under Section 168(k)(9) due to the continued interest cap, Lucasys is fully prepared to support any qualifying assets and ensure correct treatment.

• Expanded Business Interest Expense Cap
  The cap for business interest expense under Section 163(j) is increased, allowing deductions up to 30% of EBITDA rather than EBIT. Lucasys Tax supports these updates natively and ensures accurate deferred tax calculations reflecting the increased deduction capacity.

• Bonus for Structures in Key Industries
  Manufacturing, extraction, and agricultural structures that start construction after January 19, 2025, and before January 19, 2029, can now qualify for 100% bonus depreciation if placed in service before January 1, 2031. While not directly impacting utilities, Lucasys automatically updates depreciation profiles to allow for correct treatment in relevant sectors.

• 100% Expensing for Section 174 Software
  OBBB temporarily restores 100% expensing for Section 174 software from 2025–2029, reversing the TCJA’s 2022 change that required 5-year straight-line treatment. Lucasys automatically updates depreciation profiles so customers can immediately apply the correct rules without manual intervention.

Lucasys: Designed to Adapt, Built for Change

With Lucasys Tax, customers automatically receive configuration updates that reflect new tax legislation like OBBB — without the headaches of manual adjustments or costly consultant-led system rewrites. Here’s why:

• Modular Architecture: Lucasys software is designed to evolve. Lucasys applications operate independently or together, making it easy to update one component without disrupting your entire tax ecosystem.

• Rapid Update Deployment: Our team continuously monitors legislative changes and rapidly deploys updates so your tax positions remain compliant and optimized.

• Seamless Data Integration: Whether you’re tracking fixed assets, depreciation, deferred taxes, or provision for income taxes, Lucasys integrates effortlessly with upstream and downstream systems, ensuring accurate, real-time reporting.

• User-Friendly Flexibility: Tax teams can adjust assumptions, methods, and depreciation profiles without waiting on IT or external consultants.

Future-Proofing Your Tax Operations

In a fast-changing regulatory landscape, agility isn’t optional — it’s critical. Lucasys was built to help you stay ahead of every tax law change, empowering your team to focus on strategic planning rather than technical rework.

With OBBB now law, Lucasys customers are already prepared to act confidently and compliantly.

Ready to see how Lucasys can help you navigate the new era of tax compliance? Visit lucasys.com/solutions to learn more or request a demo today.

How Lucasys Can Help

Lucasys delivers software and technology-enabled services to empower finance, accounting, and tax professionals in asset-intensive industries to optimize the financial performance of their fixed assets and proactively meet changing regulatory and compliance requirements. With a core focus on rate-regulated utilities, Lucasys provides the industry and domain expertise utilities require to meet their business objectives. To learn more about Lucasys, visit https://www.lucasys.com or follow us on LinkedIn.