Tax Law Changes

What provisions are new?

• Public Law 118-146 (H.R. 1432), VSO Equal Tax Treatment Act (VETT Act), expands the deductibility of charitable contributions to include all Veterans Services Organizations (VSOs) thus making contributions to all federally chartered tax-exempt organizations that serve current and former members of the military tax deductible.
• Individuals aged 50 or older by the end of the tax year may make catch-up contributions to certain qualified plans. For 2025, the catch-up limit for section 401(k) and 403(b) plans, the TSP, SAR-SEP plans, and governmental section 457 plans is $7,500. New for 2025, a higher catch-up limit of $11,250 applies for individuals who attain age 60, 61, 62, or 63 in 2025.