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July 1, 2025

Minute Read


Act now on EV tax credits before September 2025, learn IRS rules for deducting business seminars, and explore defined benefit plans for big tax savings: 

  • If you’re considering the purchase of an electric vehicle for your business or personal use, now is the time to pay close attention
  • You and your business likely benefit from attending business conventions and seminars. It’s essential to know which expenses you can deduct—and how to ensure they qualify
  • Are you a high-income solo business owner seeking to supercharge your retirement savings while cutting your tax bill? If so, there’s a powerful tool that may surprise you: the defined benefit plan


Urgent: Want an Electric Vehicle? Act by September 2025

If you’re considering the purchase of an electric vehicle for your business or personal use, now is the time to pay close attention.

On July 4, the president signed the One Big Beautiful Bill Act that terminates the following three major electric vehicle tax credits, effective September 30, 2025:

  • Section 45W—Commercial Clean Vehicles Credit. Up to $7,500 for light electric vehicles and up to $40,000 for heavy-duty commercial vehicles.
  • Section 30D—New Clean Vehicle Credit. Up to $7,500 for qualifying new electric vehicles, with requirements for domestic sourcing of battery components and minerals.
  • Section 25E—Previously Owned Clean Vehicle Credit. Up to $4,000, or 30% of the purchase price, for eligible used electric vehicles.

If you are looking to buy an electric vehicle and want the tax credit, now is the time to act.

How to Qualify Conventions and Seminars for Tax Deductions

You and your business likely benefit from attending business conventions and seminars. It’s essential to know which expenses you can deduct—and how to ensure they qualify.

As a business owner, you might assume that if a seminar is “business related,” it’s automatically deductible. But that’s not always the case. The IRS sets specific requirements depending on the location of the event. To help you keep your deductions intact, here’s what you need to know.

Three Categories of Events

Conventions and seminars fall into one of three tax categories:

  • North American
  • Foreign
  • Cruise ship

North American conventions—including those in places like Jamaica, New York, Mexico, Chicago, and Puerto Rico—are generally deductible as long as attending benefits your business. The IRS defines “North America” broadly, based on specific treaties and agreements.

Foreign conventions and seminars are those that take place outside the North American area and have stricter rules. To qualify, the event must directly relate to your trade or business, and it must be as reasonable to hold it abroad as within North America. You’ll likely need an international audience and clear justification.

Cruise ship conventions face the most limitations. The ship must be U.S.-flagged and make all stops in the U.S. or U.S. territories. Furthermore, lawmakers cap the deduction at $2,000 per year. Both you and the event organizer must supply statements of attendance with your tax return.

Documentation Requirements

Regardless of your business structure, documentation is essential. For sole proprietors, deduct the expenses directly. If you operate as a corporation, either pay through the corporate account or submit an expense report for reimbursement. Regardless of the method, make sure the corporation has the required documentation in its records.

Deductions

You can deduct the cost of the event, your travel, and daily expenses—but only if the event qualifies under the rules.

Retire Better: The Hidden Advantages of the Defined Benefit Plan

Are you a high-income solo business owner seeking to supercharge your retirement savings while cutting your tax bill? If so, there’s a powerful tool that may surprise you: the defined benefit plan.

Often associated with large corporations or government jobs, defined benefit plans can also be a strategic solution for self-employed professionals and sole owners of corporations—especially those professionals and owners nearing retirement and earning steady six- or seven-figure incomes. 

Unlike SEP IRAs or solo 401(k)s, which cap your annual contributions, a defined benefit plan allows much larger, tax-deductible contributions based on your desired retirement benefit.

Why Consider a Defined Benefit Plan?

This plan could be ideal for you if you’re

  • age 50 or older;
  • earning consistent, high income;
  • interested in contributing more than $70,000 annually; and
  • willing to commit to multi-year contributions.
For example, someone earning $1 million per year might contribute $300,000 annually—potentially saving over $100,000 in federal taxes.

How It Works

An actuary determines your annual contribution based on your age, income, and retirement timeline. For 2025, the IRS allows the following:

  • Funding of up to $280,000 per year in retirement benefits
  • Up to $3.5 million in total plan accumulation
  • Contributions based on compensation up to $350,000

This makes the defined benefit plan one of the most robust retirement and tax-deferral vehicles available.

Important Considerations

Defined benefit plans require setup and maintenance costs, including annual actuarial evaluations and filings. Expect to invest $1,000–$4,000 annually for administration. Funds are generally locked until retirement, and early withdrawals are subject to penalties.

However, the long-term benefits can be substantial, both for your future retirement security and for your current tax position.

Contact your tax and financial advisors to determine the best moves for your situation.


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