U.S. Tax Reform — Boston

I was in Boston (July 2025) when the U.S. approved its latest major tax reform… and this is what I saw:

This Fourth of July, while the United States celebrated Independence Day, former President Donald Trump signed — amid cameras, flags, and political expectation — the so-called “One Big Beautiful Bill Act,” his new sweeping tax reform.

And I, by coincidence or synchronicity, was in Boston, meeting with local tax and legal advisors, reviewing investment structures for Chilean and Latin American clients. The news caught us all off guard given its immediate implications.

Why does this reform matter for investors from Chile (and LatAm)?

Because, even though it does not create new taxes, it consolidates and extends key tax benefits:

*) The low corporate rate (21%) is maintained.

*) Incentives like #FDII and #GILTI are preserved.

*) 100% accelerated #depreciation for assets is reactivated.

*) Limits on interest deductions are relaxed.

And all of this happens right after the Double Taxation Convention (#DTC) between Chile and the U.S. entered into force, which completely changes the rules of the game for Chileans investing in the country.

What’s coming in this series? (this is the first article)

In the following posts I will analyze:

*) Passive income and financial investments (interest, dividends, etc.)

*) Real estate investments (rentals, buy/sell, LLC structures)

*) Legal structures (C-Corp, LLC, Trust)

*) Key conclusions for investing strategically in the U.S.

📌 If you have investments in the U.S., or are considering entering, this series is for you. Any questions, write me at federico@legalkap.com