In a business environment that demands extreme agility, Grant Thornton’s new CFO survey shows that finance leaders have displayed remarkable dexterity, even as they face new challenges.

CFOs have adjusted to tariff uncertainty so far and are continuing to reshape their business to take advantage of new technological capabilities, according to the firm’s 2025 Q3 survey of more than 230 finance leaders.

Now they’re poised to tackle an opportunity with significant potential to help many businesses — one that requires intense, complex analysis and also must be considered in conjunction with the tariff and technology impacts, according to the report. The newly passed One Big Beautiful Bill Act (OBBBA) contains numerous provisions that can result in tax savings for businesses.

The new law:

• Makes the full expensing of domestic research permanent.

• Offers new and expanded ways to accelerate depreciation.

• Permanently sets tax EBITDA as the basis for computing business interest expense limits under IRC Section 163(j).

• Introduces a range of changes for multinational companies.

But identifying the best strategic method elections to maximize an individual company’s tax savings can be extremely difficult because the opportunities might be interrelated. For example, full expensing of R&D expenses can lower taxable income, but it might also reduce the amount of a company’s interest expense deduction, resulting in a surprising impact on the ultimate tax liability. 

The only way to predict the best path is to do the math.

“The thing we keep telling our clients is to model, model, model and plan,” said Grant Thornton National Tax Solutions Leader Dana Lance. “When you get into the details, the impacts of your strategic decisions can be interrelated, so you need to be detailed in your modeling to make sure you’re making the right strategic method election for your specific scenario and fact pattern.”

The tax opportunities come as the Q3 survey shows finance leaders’ optimism has rebounded after the Q2 survey reflected a severely downbeat sentiment following sweeping tariff announcements by the Trump administration. Optimism about the U.S. economy rose in Q3 to 51%, up 12 percentage points from Q2. Confidence in meeting supply chain needs (up 20 points) and cost-control needs (up 13 points) and confidence in achieving technology objectives (up 14 points) all rose by double digits.

But optimism is still far short of the 16-quarter high of 68% recorded late in 2024 after the U.S. elections, and expectations for turbulence remain high. The 45% of finance leaders who report potential layoffs in the next six months nearly matches the 14-quarter high set in Q2. And just 54% of respondents said they are confident their tax function understands how the OBBBA can benefit their business.

With uncertainty still high, CFOs now need to make sure their businesses find the right answers to reap the full benefits from the OBBBA, considering taxes, tariffs and AI as a whole, to make optimal business decisions.

“You have to look at the hospitable environment in the U.S. from a tax positioning standpoint in conjunction with the tariff environment, technology and automation advancements,” said Grant Thornton Audit Growth Leader Mike Desmond. “Companies should completely reconsider their global footprint, infrastructure and total cost of operations on a net basis and determine the optimal layout for those operations and delivery of their services.”

Choosing the right tax path

CFOs said the most impactful OBBA provisions for their organizations will be:

• The immediate expensing of domestic R&E expenditures (Section 174A)

• Restoration of 100% bonus depreciation

• International tax provisions affecting tested income, foreign-derived income and base erosion tax

But there’s still a fair amount of confusion related to the OBBBA, as just over half of finance leaders are confident their tax function understands how the OBBBA can benefit their business, and 42% say they might need to consult a third party for assistance.

To succeed in their tax objectives this time, companies can:

• Follow Lance’s suggestion to “model, model, model” and do the math.

• Improve their tax compliance processes through automation to reduce costs and free up more resources to focus on strategic objectives.

• Reassess global tax strategies, as the U.S. has become a more hospitable tax environment with the passage of the OBBBA. For example, it might be a good time to reconsider where intellectual property and supply chains are located.

“It’s a good time to reevaluate your overall strategy and perhaps work with a third-party provider to build the next-generation tax function,” said David Sites, National Managing Partner for Grant Thornton’s Washington National Tax Office and International Tax Solutions. “Take everything into account, including what’s going on in the global trade space. You might find different, more effective conclusions for your company.”

All in on AI

The most popular area for investing OBBBA-created tax savings is IT and digital transformation, as 54% of finance leaders plan to reinvest those savings in tech. 

With that in mind, it’s hardly surprising that AI implementation is the tactic that CFOs are overwhelmingly turning to for business improvements amid the tax and tariff changes they’re experiencing.

“CFOs want to sit down and talk about AI,” said Grant Thornton CFO Advisory National Managing Partner Paul Melville. “They want to know how businesses are using it, how they’re hiring and training people to take advantage of it, and what it will mean for their operations. It’s a very big conversation.”

The survey shows that financial operations and processes are finance leaders’ top priority for digital transformation, followed by business intelligence/data analytics and customer relationship management/customer experience.

The Digital Transformation Survey also shows that companies are continuing to spend more on technology this year as they pursue AI initiatives to fuel growth, improve efficiency and strengthen resilience and compliance.

The big question is how much AI is contributing to possible workforce reductions. When Q2 marked a 14-quarter high with 47% of respondents predicting possible layoffs, it was easy to attribute that result to the concerns over tariffs and recession fears. But even after economic confidence returned to historically average levels, 45% of respondents said workforce reductions might be imminent at their organizations.

The idea that AI might replace workers is no longer unspoken among business leaders, who once were quiet about the topic in hopes of calming concerns of their employees.

“People are saying it out loud now, and they weren’t saying it before,” Lance said. 

She added that this shift makes it even more important for workers at all levels to upskill themselves so they can be prepared to use AI tools.

Tariff responses — and holistic planning

Although 64% of respondents now say tariffs have had a negative effect on their company (up from 56% in Q2), the improvement in economic optimism suggests that CFOs have learned to deal with the change. 

“Finance leaders have come to understand that tariff uncertainty is a factor they will have to deal with, day in and day out,” Melville said. “They’re even prepared for large fluctuations in what the tariff numbers might be. It could be announced at 10% today and 20% tomorrow — and then the deadline is extended. Leaders understand the pattern for how all this works, and it’s less of a shock than it was in April.”

Their top strategies for dealing with tariffs have been adjusting supply chains (51%), implementing technology and automation (45%) and increasing prices (41%).

CFOs will get the best results when they tackle tariffs along with the other key factors in business today in an interconnected fashion, not in isolation. This makes advanced FP&A processes extremely valuable.

“Robust, forward-looking FP&A processes that integrate tax, treasury, sales forecasting and other important factors will enable companies to build offramps and create buffers,” Sites said. “Use this opportunity to build a moat for yourself with a defensive mechanism that provides balance amid all this uncertainty.”

Key takeaways
 
CFOs are likely to reap substantial rewards if they can steer their businesses to an optimal position related to tax opportunities, tariffs and automation breakthroughs.

Actions that will help them do that include:

• Re-analyzing risks: “We’re in an environment of continuous change,” Desmond said. “Regularly re-evaluating your risks and risk appetites within an organization from a top-down and bottom-up perspective — and considering how risks interact — is extremely important right now.”

• Prioritizing liquidity: The survey shows cash and liquidity rising as an area of focus. With interest rates remaining high and inflation a big concern, access to cash provides a buffer. “They’re focused on accurate cash flow forecasting so they’re braced for what might come in the economy. They’re also redeploying cash savings from the tax law strategically within their businesses,” Sites said.

• Creating flexibility in supply chains: “We’ve had a number of clients who have performed reshoring or moved their supply chains from China and are back up and running through other countries,” Melville said. “Building adaptability within supply chains helps improve agility and reduce risks.”

• Upskilling employees: AI presents tremendous opportunities for companies to increase revenue, streamline operations and improve risk management. It works best if you nurture an innovative culture and help your people become comfortable with the tools.

• Managing data: Without high-quality, well-organized data, AI’s impact is limited and tax compliance and strategy are challenging. “When companies don’t have effective data management, it affects their ability to implement new tax laws and streamline their finance operations,” Lance said.

Finance leaders appear confident they can manage this multitude of key priorities. More than three-fourths (76%) said they expect their profit to grow over the next 12 months, an increase of 15 percentage points over Q2.

Success with taxes, trade and technology while taking a holistic approach can help them achieve those goals.