There’s big news out of Washington this week — and if you’ve been considering investing in a vacation rental property, the timing has never been better.
On July 3, 2025, Congress passed a sweeping tax-and-spending package nicknamed the “One Big Beautiful Bill”, which permanently extends several popular provisions from the 2017 Tax Cuts and Jobs Act (TCJA). And if you’re a real estate investor, these changes could dramatically improve your cash flow, tax savings, and return on investment.
At Rent Branson, we not only manage beautiful vacation homes in the Ozarks — we also help owners make smart decisions that maximize profits and minimize stress. Here’s what you need to know about the new tax bill, and how it could make vacation rental investing one of the smartest financial moves you make this year.
📌 What’s in the New 2025 Tax Bill for Property Investors?
Several of the 2017 tax credits and deductions that were originally set to phase out in the coming years have now been made permanent. Here’s what matters most for real estate and vacation rental investors:
✅ 20% Qualified Business Income (QBI) Deduction
If your vacation rental is held in a pass-through entity like an LLC, S-Corp, or partnership, you could be eligible for a 20% deduction on your rental income. This means nearly one-fifth of your profits could be tax-free.
For example:
If your Branson vacation rental earns $50,000 a year in net income, you could deduct $10,000 right off the top — before calculating your taxable income.
✅ 100% Bonus Depreciation + Expanded Section 179 Deductions
Good news for those furnishing or upgrading properties! The bill keeps 100% bonus depreciation in place, allowing you to fully deduct the cost of capital improvements — like new furniture, appliances, and equipment — in the year they’re purchased, rather than spreading the cost over several years.
Plus, Section 179 deductions remain expanded, giving small business owners more flexibility to deduct expenses for qualifying property.
Example:
If you spend $30,000 furnishing your new vacation rental, you can deduct the entire $30,000 from your taxable income this year — instead of depreciating it over 5-7 years. Immediate tax savings = faster return on investment.
✅ Lower Individual Tax Rates + Higher Standard Deductions
The new law makes permanent the lower individual tax brackets and the higher standard deductions that have been in place since 2017. This means you’ll keep more of your money whether you invest as an individual, family trust, or business entity.
💡 How This Benefits New Vacation Rental Investors
This is a game-changer for investors, especially those looking to enter the market now. Here’s why:
💸 Opportunity | 📊 Tax Benefit | 🏆 Result |
---|---|---|
Purchase or renovate a vacation rental | 100% Bonus Depreciation + Sec 179 | Write off big expenses in Year 1 |
Rent out via an LLC or S-Corp | 20% QBI Deduction | Lower taxable income on rental profits |
Sell in a favorable market | Lower capital gains rates + deductions | Keep more of your sale profits |
Reinvest tax savings into more properties | Lower income taxes | Grow your portfolio faster |
📣 Why Now is the Time to Invest in a Branson Vacation Rental
Branson is one of the fastest-growing vacation destinations in the Midwest — and with these new permanent tax perks, owning a short-term rental here just became even more profitable.
When you partner with a full-service property management company like Rent Branson, you don’t just invest in real estate — you invest in peace of mind. We handle everything from marketing and guest relations to maintenance, bookings, and cleaning services. And now, with new tax advantages, your path to passive income has never been clearer.
📑 Next Steps for Interested Investors
Ready to take advantage of these new tax laws? Here’s how we can help:
-
Connect with our team for an investor consultation.
-
Learn about high-performing properties currently available in the Branson area.
-
Get connected with legal and tax professionals who can help you structure your investment to maximize tax savings.
-
Let us manage your property so you can enjoy truly passive income while we handle the day-to-day operations. Learn about the Rent Branson Difference here
📞 Let’s Talk!
If you’ve been waiting for the right moment to invest in a vacation rental — this is it.
Contact Rent Branson today and let’s turn your investment into income.
📧 Email Us – Info@RentBranson.com
📞 Call or Text: (417) 779-5880
📌 Final Thought:
The permanence of these tax incentives makes vacation rental investing not only smart but extremely tax-efficient. It’s not just about owning a vacation home — it’s about building wealth while creating memorable guest experiences in one of the country’s most charming destinations.
✨ Bonus Resource:
Want a breakdown of how much you could save on your taxes? We’d be happy to run a custom calculation for your potential property. Reach out today!