To amend the Internal Revenue Code of 1986 to modify and make permanent bonus depreciation.

3/14/2024, 12:48 PM

Amends the Internal Revenue Code to make permanent the additional 50% depreciation allowance (bonus depreciation) for qualified property placed in service after December 31, 2013. Modifies the definition of "qualified property" to include qualified retail improvement property. Increases by $8,000 (with an annual inflation adjustment after 2014) the maximum allowable depreciation deduction for a passenger automobile (i.e., any 4-wheeled vehicle which is manufactured primarily for use on public streets, roads, and highways and is rated at 6,000 pounds unloaded gross vehicle weight or less).

Makes permanent, for taxable years ending after December 31, 2013, the election to increase the alternative minimum tax (AMT) credit limitation in lieu of bonus depreciation.

Allows an additional deprecation allowance for a tree or vine bearing fruits or nuts, in the taxable year in which the tree or vine is planted, or grafted to a plant, in the ordinary course of the taxpayer's farming business. Makes such provision applicable to trees and vines planted or grafted after December 31, 2013.

Prohibits the entry of the budgetary effects of this Act on any PAYGO (pay-as-you-go) scorecard.

Congress
113

Number
HR - 4718

Introduced on
2014-05-22

# Amendments
1

Sponsors
+5

Cosponsors
+5

Variations and Revisions

7/15/2014

Status of Legislation

Bill Introduced
Introduced to House
Failed in House
Introduced to Senate
Senate to Vote

Purpose and Summary

Amends the Internal Revenue Code to make permanent the additional 50% depreciation allowance (bonus depreciation) for qualified property placed in service after December 31, 2013. Modifies the definition of "qualified property" to include qualified retail improvement property. Increases by $8,000 (with an annual inflation adjustment after 2014) the maximum allowable depreciation deduction for a passenger automobile (i.e., any 4-wheeled vehicle which is manufactured primarily for use on public streets, roads, and highways and is rated at 6,000 pounds unloaded gross vehicle weight or less).

Makes permanent, for taxable years ending after December 31, 2013, the election to increase the alternative minimum tax (AMT) credit limitation in lieu of bonus depreciation.

Allows an additional deprecation allowance for a tree or vine bearing fruits or nuts, in the taxable year in which the tree or vine is planted, or grafted to a plant, in the ordinary course of the taxpayer's farming business. Makes such provision applicable to trees and vines planted or grafted after December 31, 2013.

Prohibits the entry of the budgetary effects of this Act on any PAYGO (pay-as-you-go) scorecard.

Alternative Names
Official Title as IntroducedTo amend the Internal Revenue Code of 1986 to modify and make permanent bonus depreciation.

Policy Areas
Taxation

Potential Impact
Building construction•
Business investment and capital•
Computers and information technology•
Forests, forestry, trees•
Fruit and vegetables•
Income tax credits•
Income tax deductions•
Motor vehicles•
Public utilities and utility rates•
Real estate business•
Retail and wholesale trades•
Water use and supply

Comments

Recent Activity

Latest Summary7/14/2014

Amends the Internal Revenue Code to make permanent the additional 50% depreciation allowance (bonus depreciation) for qualified property placed in service after December 31, 2013. Modifies the definition of "qualified property" to inclu...


Latest Action7/15/2014
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 465.